Even as the PV segment continued to see gains, growth has returned to CVs and two-wheelers albeit as a result of pre-buying of vehicle ahead of the BS IV deadline for these two vehicle categories.
10 Mar 2017 | 5353 Views | By Autocar Pro News Desk
The official sales figures for the Indian automobile industry for the month of February 2017 are out. As per the data released by apex industry body SIAM today, it looks like growth is gradually edging upwards to reach pre-demonetisation levels.
Total sales at 1,362,045 units, across all vehicle segments ...
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The official sales figures for the Indian automobile industry for the month of February 2017 are out. As per the data released by apex industry body SIAM today, it looks like growth is gradually edging upwards to reach pre-demonetisation levels.
Total sales at 1,362,045 units, across all vehicle segments in February 2017, point to flat growth (0.94 percent) but an improvement over January 2017 (1,620,045 units, -4.71 percent), December 2016 (1,221,929 units, -18.66 percent) and November 2016 (1,563,665 units, -5.48 percent). Sales in October 2016 (2,201,571 units, 8.14 percent) and September 2016 (2,260,992 units, 20.16 percent), ahead of the demonetisation exercise, were the highest this fiscal.
How the segments fared
At 255,359 units sold in February 2017 (9.01 percent), the passenger vehicle (PV) continued to maintain growth albeit volumes were down compared to January 2017’s 265,320 units (14.40 percent) although the first month of the year typically sees pent-up demand from December fructifying. Passenger car sales rose 4.90 percent to 172,623 units while surging consumer demand for SUVs saw numbers grow 21.79 percent to 65,877 units. The month also saw 16,859 vans being sold, up 8.10 percent year on year.
The commercial vehicle (CV) which, like the two-wheeler segment, will have to adhere to BS IV emission norms across the country, saw a surge in sales. In fact, at 66,939 units, it has clocked its best-ever monthly sales for the fiscal year 2016-17. This is thanks to highest-ever sales of M&HCVs in a single month this fiscal – 30,521 units, a YoY growth of 5.02 percent, clearly pointing to considerable pre-buying of heavy vehicles before the BS IV deadline of March 31, 2017. The LCV sector too contributed to overall sector growth with sales of 36,418 units (9.38 percent).
Sales of two-wheelers, which were like CVs, most impacted by demonetisation, are limping back to normalcy. Although sales at 1,362,045 units indicate flat YoY growth (-0.01 percent), they are much better than the low of December 2016 (910,235, -22 percent), November 2016 (1,243,251, -5.35 percent) and January 2017 (1,262,141, -7.39 percent).
Importantly, growth has returned to the scooter sector which saw 452,295 units being bought by new owners, a growth of 3.70 percent (February 2016: 436,163). Motorcycles, which bore the brunt of slowing sales over the past few months, particularly from rural India, sold a total of 832,697 units, down 3.13 percent YoY but the highest in four months. Meanwhile, mopeds continue to find flavour among buyers, selling 77,053 units in February 2017, up 16 percent YoY.
Three-wheeler sales were down 21 percent at 35,356 units.