Cars and UV sales cross the three lakh mark for the sixth month running, grow at 1.9%

As per industry estimates as many as 327,700 units were sold last month, which is an increase of 1.9% over 326,600 units sold in the same period last fiscal. With this, sales of passenger vehicles in the first half of the year rose to over 2 million units for the first time in the country. Automakers in India mostly report wholesale dispatches from factories to dealerships and not retail sales to customers.

Shashank Srivastava, senior executive director (marketing and sales) at market leader Maruti Suzuki said this was the best-ever June for passenger vehicle makers in India. “A slew of new launches, steady consumer demand helped drive sales last month. Though the growth rate now on will be lower, on a high base of last year, the industry should be able to cross the 4 million mark in sales in the full year”, Srivastava informed.

Industry numbers were supported by Maruti Suzuki, which grew wholesale volumes by 8.4% to 133,027 units in June. The shortage of electronic components had a minor impact on the production of vehicles but the company said it took all possible measures to minimise the impact. Srivastava said availability of semi-conductors is expected to improve in the ongoing quarter, which will help the carmaker ramp up supplies and reduce waiting period on its products. Maruti Suzuki has pending orders for 355,000 vehicles, at present.

Korean rival Hyundai sold 50,001 units last month, up 2% from 49,001 vehicles sold in June 2022. Tarun Garg, Chief Operating Officer, Hyundai Motor India said, ” There is a positive customer traction for all our products and Hyundai VERNA, CRETA, and TUCSON have attained leadership positions in their respective segments in the first half of CY 23.” The company is scheduled to launch entry-SUV Exter later this month, which is expected to further shore up volumes going forward.

Toyota Kirloskar Motor (TKM) outperformed the market on back of high demand for new launches Hyryder and Innova Hycross. Atul Sood, Vice President (sales and strategic marketing) at Toyota Kirloskar Motor, said, “Ever since the launch of Urban Cruiser Hyryder and Innova Hycross, we are witnessing continued high acceptance by our customers. These along with a consistent performance by the entire product portfolio are enabling us to sustain the positive performance.” TKM grew sales by 10.5% to 18,237 units last month.The commencement of three shift operations, Sood said, has played a “vital role” in enhancing operational capabilities and addressing the growing demand for the company’s products.At MG Motor India sales went up by 13.8% to 5,125 units in the month under consideration.

Overall, sales of passenger vehicles in the local market grew 9.9% to 2.01 million units in the first half of the year.