Two-Wheeler, CV Exports Hit Brakes, Drag Down Overall Indian Auto Shipments

15 Jan 2024 , 09:38 AM

According to the most recent SIAM data, automobile shipments from India fell 21% last year as a result of the ongoing financial and geopolitical difficulties in many foreign markets.

In 2022, total exports were 52,04,966 units; in 2023, they were 42,85,809 units.

Shipments of passenger cars increased 5% from 6,44,842 units in 2022 to 6,77,956 units last year.

However, exports of several categories, such as commercial vehicles, two-wheelers, and three-wheelers, decreased last year.

Exports of two-wheelers decreased by 20% from 40,53,254 units in 2022 to 32,43,673 units last year.

In a similar vein, shipments of commercial vehicles fell from 88,305 to 68,473 units in the previous year.

Exports of three-wheelers fell 30% to 2,91,919 units from 4,17,178 units in the previous year.

According to Rajesh Menon, Director General of the Society of Indian Automobile Manufacturers (SIAM), pent-up demand in countries such as the Gulf and South Africa, as well as new vehicle launches, drove passenger car exports in 2023.

‘A smoother supply chain compared to the prior year, when there were supply-side disruptions, notably those involving semiconductors, can also be contributed to the increase. However, the difficulties in obtaining foreign currency remain in the areas where two- and three-wheelers are sold, which has restrained demand,’ he continued.

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