Driven largely by exports, the three-wheeler industry has reported a 44.30% growth in the first seven months of the current fiscal (April-October 2018) to 761,300 units as compared to 527,570 units in the same period last fiscal.
Driven largely by exports, the three-wheeler industry has reported a 44.30% growth in the first seven months of the current fiscal (April-October 2018) to 761,300 units as compared to 527,570 units in the same period last fiscal. Interestingly, the exports grew at much higher percentage of 63% as compared to domestic sales growth of 32% in the first seven months of current fiscal.
To note further, big players such as Bajaj Auto, TVS Motor and Piaggio recorded a growth of 59%, 82% and 74%, respectively on the exports front as compared to a growth of 41.3%, 33.39% and 18%, respectively in their domestic sales growth during the said period, according to a SIAM data.
As per the data, the domestic sales of the industry during the period touched 423,762 units (321,116 units) and the exports were at 342,235 units (209,971 units). Within this, the passenger vehicles export were almost equal to domestic sales at 338,730 units against 350,412 units of domestic sales in the first seven months of current fiscal.
However, the goods segment registered a growth of 13.21% in the domestic sales to 73,350 units (64,793 units) and the exports were at a meagre 3,505 units (2,903 units), registering a growth of 20.74%, the SIAM data said.
According to industry sources, contrary to general expectation, three-wheelers volume grew sharply on high base of last year with strong momentum in both domestic and export markets and the same is expected in the remaining months of the current fiscal.
Moreover, most export markets such as Southeast Asia, Africa and Latin American countries have stabilised now and hence the demand for Indian three-wheelers is on the rise, the sources added.
Driven by 59% growth in exports, market leader Bajaj Auto’s exports almost equalled to its domestic sales at 235,600 units as compared to domestic sales of 244,374 units in the April-October period. The company’s passenger vehicle exports were at 234,498 units as in April-October 2018 period as compared to 147,795 units in the same period last fiscal. It has reported a 49% growth in its overall three-wheeler sales to 473,147 units in the said period.
Similarly, TVS Motor’s overall three-wheeler sales is majorly driven by its exports, which contributed 78,891 units in its total sales of 89,529 units during the period. The company’s domestic sales were paltry at 10,495 units during the seven month period.