PV Sales Up 10% in March, Cross 4.2 Million Units in FY24

2 Apr 2024 , 12:27 PM

Industry reports state that the domestic passenger vehicle (PV) market remained strong throughout the fiscal year, with total wholesale numbers rising 8.7% to 370,381 units on a year-over-year (YoY) basis in March. The monthly volumes were at their greatest point ever for the fifteenth consecutive month. 336,566 PV units were dispatched in total in March 2023.

42,29,566 units were shipped in total by automakers to dealerships during the fiscal year 2023–2024. According to industry figures, that would represent an 8.7% rise over the 38,90,114 cars sold in FY23. In a fiscal year, the strong sales result solidified India’s standing as the third-largest photovoltaic market globally.

Maruti Suzuki, Hyundai Motor India Limited (HMIL), Tata Motors, Mahindra & Mahindra (M&M), Toyota Kirloskar Motor (TKM), and other automakers are seeing an increase in car sales as a result of better semiconductor supply, strong demand for SUVs, strong economic growth, a favourable monsoon, and prudent monetary policy.

Sports Utility Vehicles (SUV) accounted for more than half of the passenger vehicle market in a given year, with a 50.4% share.

Leader in the PV market Maruti Suzuki India Limited (MSIL) saw a 15% increase in sales in March 2024, reaching 152,718 units, compared to 132,763 units in the same month the previous year. MSIL’s overall sales for the entire fiscal year were 16,06,870 units (of PVs), a 9.5% increase over FY 2022–2023.

The company reported that, in FY 2023–2024, it was able to record cumulative sales of 2 million units (domestic + OEM sales + exports).

“Our market share increased by 2% in March and by 0.4% to reach 42% by the end of the fiscal year because we grew faster than the (photovoltaic) industry,” stated Shashank Srivastava, Senior Executive Officer (Marketing and Sales), MSIL.

“This is also the highest ever SUV sales for Maruti,” he continued. SUVs are obviously in the driver’s seat in the market, as seen by our nearly doubled market share to 21% in the previous fiscal year. Additionally, he disclosed that around 25.5% of our overall sales come from SUVs.

Additionally, he disclosed that MSIL’s sales in rural areas have outperformed urban growth, coming in at 7.87 lakh units. “Rural (market) growth is 11.7% compared to roughly 7% for metropolitan areas. It’s a positive indication for the economy. The economy as a whole is the main engine of growth. Srivastava continued, “There is a strong association between economic per capita income and auto sales figures.

HMIL reported that domestic sales increased by 5% to 53,001 units last month from 50,600 units in the same period last year. The South Korean automaker sent 6,14,721 cars to its dealers in the most recent fiscal year, an 8% increase over the 5,67,546 units shipped in the fiscal year 2022–2023.

According to Tata Motors, sales of passenger cars, including electric cars (EVs), in the domestic market were up 14% to 50,297 in March from 44,225 in the same month the previous year.

According to Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles, the company’s passenger vehicles, including electric vehicles (EVs), recorded their third consecutive year of highest sales ever in FY24. Wholesale sales increased by 6% to 5,73,495 units (compared to FY23), while retail sales increased by roughly 10%.

“We anticipate that there will be a significant demand for passenger automobiles in the future, even though the high base effect would limit growth to single digits. According to Chandra, “double digit growth in sales of cars with emission-friendly powertrains should result from customers’ growing preference for safe and environmentally friendly vehicles. This growth will be supported by new product launches and a stronger value proposition: cars with emission-friendly powertrains, lower total cost of ownership, and smarter features.

The carmaker recorded a 28% growth in passenger vehicle wholesales for the 2023–24 fiscal year, coming in at 4,59,877 units, compared to 3,59,253 units for the 2022–2023 financial year.

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