As per data released by the Society of Indian Automobile Manufacturers (SIAM) on Wednesday, India has registered a rise of 24.1 per cent year-on-year (YoY) in passenger vehicle dispatches, with the number having increased to 3,88,144 units in June, in view of strong domestic demand and higher shipments by manufacturers to dealers.
The number stood at 3,12,851 units during the same month last year. The industry body further said there has been double-digit growth in two-wheeler and three-wheeler dispatches.
Passenger Vehicles Surge
Passenger vehicle shipments, which reflect sales made by the manufacturers to the dealers has recorded one of the best results in comparison to the previous months. This increase shows that the manufacturers have been busy restocking the dealer inventory.
The increase has been made possible by the fact that the automobile makers have been busy with the expansion of the product portfolio as well as establishing their position in the sport utility vehicle and passenger vehicle market segments.
The new SIAM data emphasises the fact that the domestic automobile sector is performing well, given the fierce competition and changing tastes of the customers. It is important to note that wholesale dispatches play an important role in determining the development trajectories in the market.
Two Wheelers Lead Growth
The two-wheeler sector also experienced a strong uptick in June. Shipments rose 18.6 per cent YoY to 1,851,400 units, up from 1,561,283 units in June last year, backed by stable demand from urban and rural areas.
The three-wheeler sector saw shipments rise 26.1 per cent to 77,951 units, up from 61,828 units in the same month last year. The segment continues to benefit from the demand for passenger and cargo transportation in cities and small towns.
The increase across the board in both passenger and two and three wheelers signals strong demand in the Indian automobile market. Industry participants will keep an eye on whether this momentum continues in the coming months as manufacturers gear up for larger volumes and seasonal demand. |
