NEW-DELHI: The Domestic Passenger Vehicle Market in India soared to unprecedented heights in August, driven by festive demand and an unwavering interest in Sport Utility Vehicles (SUVs). Major automakers, including Maruti Suzuki, Hyundai Motor India, Mahindra & Mahindra, and Toyota Kirloskar Motor, all reported robust growth in wholesale sales. However, Tata Motors experienced a slight dip in domestic market sales.
Maruti Suzuki, the country's leading automaker, achieved a historic milestone by recording its highest-ever monthly sales in August. Shashank Srivastava, Senior Executive Officer (Sales & Marketing) at Maruti Suzuki, expressed his enthusiasm, stating, "August was an exceptional month for the automobile industry." Total passenger vehicle sales in the month reached an impressive 360,897 units, marking the highest monthly sales in any year.
Comparing the figures to September 2022 when the industry wholesaled 355,400 vehicles, August 2023 witnessed a 9.7 percent increase in total sales. This surge is even more impressive when considering the 326,980 units sold in August of the previous year. For the current financial year, total vehicle sales up to August surpassed 1.7 million units, reflecting an eight percent increase compared to the same period in 2022.
Srivastava attributed the surge in sales to the SUV segment, stating that SUVs accounted for a remarkable 48.6 percent share of total vehicle sales in August. This growth was further fueled by the onset of the festive season, which commenced with the strong demand seen during Onam.
Maruti Suzuki, with wholesale sales of 189,082 vehicles in August, led the SUV sales charts for the April-August period. Models such as the Grand Vitara Brezza, and Jimny played pivotal roles in achieving this success. The automaker reported a 14 percent increase in wholesale sales compared to August 2022 when it sold 165,173 vehicles.
Hyundai Motor India also witnessed significant growth, as its August wholesale sales increased by 15 percent year-on-year, reaching 71,435 units in August 2023, compared to 62,210 units in August 2022. The company's domestic sales for the month rose by nine percent to 53,830 units, while exports surged by 39 percent to 17,605 units.
Tarun Garg, Chief Operating Officer of Hyundai Motor India, expressed optimism about the festive season, stating that strong demand during Onam was a promising start, and this trend is expected to continue across various segments in the coming months.
Mahindra & Mahindra (M&M) also joined the success story with a 19 percent rise in vehicle sales, reaching 70,350 units year-on-year, compared to 59,049 units in the same period last year. Within the domestic passenger vehicle market, M&M reported a 25 percent growth, with sales totaling 37,270 units, marking the highest-ever domestic sales for their SUVs.
Toyota Kirloskar Motor achieved its highest-ever sales figures in August, with 22,910 units, signifying a remarkable 53 percent growth compared to the previous year when they sold 20,970 units in the domestic market. However, Tata Motors experienced a slight setback, with wholesale passenger vehicle sales in August dipping by 3.5 percent to 45,513 units, compared to 47,166 units in the previous August. This figure includes data related to electric vehicles.
Honda Cars India reported a one percent increase in domestic market sales in August, reaching 7,880 units, compared to 7,769 units in the same month the previous year. However, the company faced a seven percent decline in exports, with 2,189 units shipped abroad.
In the two-wheeler segment, MG Motor India achieved a nine percent increase in retail sales, totaling 4,185 vehicles in August. Bajaj Auto reported a 15 percent decline in total vehicle sales, reaching 341,648 units. Meanwhile, TVS Motor recorded a four percent increase, with total sales reaching 345,848 units.
Notably, Honda Motorcycle and Scooter India saw a three percent rise in sales, with 477,590 units sold in August. Royal Enfield reported sales of 77,583 units, reflecting an 11 percent increase compared to August 2022. With SUVs driving this remarkable surge in sales and the festive season in full swing, India's domestic vehicle industry is gearing up for an exciting and prosperous period ahead.