Economy

Automobile sales hit a low in December 

S. Ronendra Singh New Delhi | Updated on January 10, 2020 Published on January 10, 2020

The total two-wheeler sales in December declined 16.6 per cent. (File photo)   -  The Hindu

Sales of cars, motorcycles and two-wheelers dropped 8.4 per cent, 12.01 per cent and 16.6 per cent respectively in the month

Automobile sales in December 2019 declined by 13 per cent across all categories, with segments such as passenger cars, two-wheelers and commercial vehicles recording their worst fall in the last 15 years.

Passenger car sales declined by 8.40 per cent to 1,42,126 units during the month, as compared with 1,55,159 units in December 2018. Similarly, in the total commercial vehicle segment, sales declined by 12.32 per cent to 66,622 units in December 2019, as against 75,984 units in the corresponding month of the previous year.

In the two-wheeler segment, motorcycle sales declined by 12 per cent year-on-year (YoY) to 6,97,819 units during the month, as against 7,93,042 units in December 2018, the Society of Indian Automobile Manufacturers (SIAM) said on Friday. 

Scooter sales also fell, declining by more than 24 per cent to 3,06,550 units in December 2019, as compared with 4,06,137 units in the corresponding month of the previous year. 

The segment that continues to grow is utility vehicles, led by the new launches, including the Hyundai Venue, Kia Seltos and MG Hector. The segment recorded 30 per cent YoY growth in December 2019 to 85,252, units as against 65,567 units in December 2018. Going forward, SIAM said, the industry is optimistic about growth as manufacturers will start rolling out more BS-VI vehicles from February.

"Car sales will be flattish and utility vehicle sales will continue to grow. But, large commercial vehicle sales growth will return only if the economy grows, as it has a mirror effect on the sales of commercial vehicles," Rajan Wadhera, President, SIAM, told reporters here.

He said January to March look more positive in terms of sales, as most manufacturers would stop manufacturing BS-IV vehicles from February 15. 

 

 

Published on January 10, 2020
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