Auto sector growth starts robustly in FY25, total sales up 25% in April

Pune: Passenger vehicles wholesales, the barometer of the economy, rose 1.3 per cent year-on-year to 3,35,629 units in April, the Society of Indian Automobile Manufacturers or SIAM said on Tuesday. According to experts it reflected steady consumer demand and improving economic conditions.

 The passenger vehicle dispatches from factory gates to dealers stood at 3,31,278 units in April 2023. Category wise, the passenger car segment declined by 23.4 per cent y-o-y to 96,357 units during the month as compared with 1,25,758 units in the same month last year.

 However, the popular utility vehicle segment grew 21 per cent y-o-y to 1,79,329 units in April as against 1,48,005 units in April 2023.Van segment also grew by 15 per cent y-o-y to 12,060 units in the last month as compared with 10,508 units in April last year.

 SIAM said the two-wheeler wholesales rose 31 per cent to 17,51,393 units last month, as compared to 13,38,588 units in April last year.

 Scooters, motorcycles, and mopeds registered significant year-on-year growth rates of 25.2 per cent, 34.4 per cent, and 20 per cent, respectively. This robust performance underscores the enduring popularity of two-wheelers as a primary mode of transportation in India.

 The three-wheeler wholesales rose 14.5 per cent to 49,116 units last month, as against 42,885 units in April 2023.

 The grand total of all the categories of vehicles surged 25 per cent to 21,36,157 units during the month as compared with 17,12,812 units in April 2023.

 “The year 2024-25 has started on a reasonably good note for the auto industry, as all the segments have posted growth in April 2024, compared to April 2023, driven by positive consumer sentiments and festivities in this month,” said Vinod Aggarwal, President at SIAM.

 Above normal monsoon rainfall, policy continuity post-elections and Government’s push on manufacturing and infrastructure would propel the overall economic growth which would help in continuing the auto sector’s growth trajectory, he noted.