Record Sales in Indias Auto Sector as Car and SUV Sales Surpass 500,000 Units in October

New Delhi, November 13 (Daily Kiran) : The Indian automobile sector achieved remarkable success in October, with total sales of passenger vehicles, including cars and SUVs, surpassing 500,000 units for the first time. According to data released by the Society of Indian Automobile Manufacturers (SIAM) on November 13, domestic passenger vehicle sales increased by 12.4% year-on-year, reaching 519,060 units compared to 461,614 units in the same month last year.

The demand for utility vehicles, particularly SUVs, remained strong, with sales rising by 11.4% to 301,141 units. Meanwhile, car sales also saw an increase of 11.8%, totaling 130,305 units.

This surge in demand for cars and SUVs during the festive season played a crucial role in elevating the passenger vehicle market to new heights.

Sales of two-wheelers also experienced significant growth, with total sales rising by 16.1% to 2,577,810 units in October. Scooters led the charge, with sales climbing by 31.6% to 1,096,756 units, while motorcycle sales increased by 6.6% to 1,423,118 units. Mopeds also saw a 13% rise in sales.

Three-wheeler sales also picked up, with a 25.7% increase, totaling 103,349 units for the month.

In the passenger carrier segment, sales rose by 26.9%, while goods carrier sales increased by 27.4%. However, electric rickshaw sales fell by 22.3%, and e-cart sales dropped by 17.8%.

Over the seven-month period from April to October, the auto sector recorded strong growth. During this time, two-wheeler sales grew by 17.4%, reaching 14,664,622 units. Three-wheeler sales rose by 26.2%, totaling 605,211 units. Due to Tata Motors only reporting data until September, passenger vehicle sales for this period increased by 25.5%, reaching 3,082,634 units.

With the rise in sales, vehicle production also accelerated. Total production, including passenger vehicles, three-wheelers, two-wheelers, and quadricycles, increased by 28.6% to 3,618,753 units. In comparison, domestic sales grew by 15.7%, totaling 3,126,325 units. Despite a slower growth in sales compared to production, exports saw a significant increase, indicating that companies are meeting both domestic and international demand.

In October, passenger vehicle production rose by 26.3% to 509,910 units, while two-wheeler production increased by 28.9% to 2,948,471 units. The production of three-wheelers saw the highest growth, surging by 31.3% to 158,416 units.

Exports in the automotive sector also experienced double-digit growth, with total exports rising by 26.1% to 682,299 units. Two-wheelers accounted for the largest share, with exports increasing by 26.5% to 543,972 units. Scooter exports nearly doubled, rising by 80.4% to 85,292 units. Motorcycle exports grew by 20.1%, while passenger vehicle exports increased by 21.8% to 83,716 units, and three-wheeler exports rose by 26.7% to 53,039 units.

Rajesh Menon, the Director General of SIAM, stated that the demand in the Indian automobile industry remains robust. He noted that improved credit availability and the need to replace old vehicles in both rural and urban markets have supported the demand for two-wheelers. The growing need for last-mile transportation and rapid electrification are key factors driving the demand for three-wheelers.

Overall, Menon emphasized that the demand outlook for the Indian automobile industry remains positive.