Industry estimates as many as 276,000 passenger vehicles were dispatched from factories to dealerships in December – an increase of 8.3% over 255,000 units sold in the same period last year. With this, overall volumes went up 23% to close at 3.79 million units in CY2022. In 2018, 3.39 million passenger vehicles were sold in the country.
Interestingly, nearly 40% of these volumes came from sales of vehicles priced over ₹10 lakh, indicating a shift towards premium vehicles in a market which has mostly been known for preferring small affordable cars.
Automakers in India largely report wholesale dispatches from factories and not retail sales to customers.
Market leader Maruti Suzuki reported a decline of 9% to sell 112,010 units last month. The shortage of electronic components had some impact on the production of vehicles, mainly in domestic models. The company said it took all possible measures to minimise the impact.
Shashank Srivastava, senior executive officer (marketing and sales) at Maruti Suzuki, said, while the shortage of chip impacted to some extent production of in-demand models, the company controlled roll-out of other vehicles to minimise carriage of year-end stocks. The company has pending orders of 363,000 units.
“Demand seems to be good. Last month, enquiries as well as bookings were at elevated levels”, informed Srivastava, adding, “We have to monitor customer demand going ahead to assess the impact of the increase in vehicle prices due to implementation of certain regulatory norms.” Maruti Suzuki grew sales by 16% to sell 1.58 million vehicles in the year. Meanwhile, Korean auto major Hyundai Motor India recorded highest-ever domestic sales since its inception of 552,511 units in 2022 with a growth of 9.4%.
“Despite strong headwinds in the last few years, we have continued to challenge existing boundaries and establish new Industry benchmarks. SUVs now contribute to ove 50% of our volumes and our showstopper model CRETA registered its highest ever annual sales volume of 140,895 units in CY2022 since its introduction in 2015”, said Tarun Garg, director (sales, marketing & service), Hyundai Motor India.