Passenger vehicles sales in May on fast lane at 14 per cent

PUNE: Automakers in India, the world’s third biggest auto market, posted a sustained and robust sales growth last month on the back of new product launches and recovery in the economic environment.

Domestic passenger vehicle sales in India grew 13.54 per cent year-on-year (YoY) to 3,34,247 units in May, data released by the Society of Indian Automobile Manufacturers or Siam showed on Tuesday.

Sales of passenger vehicles (PVs) from auto manufacturers to dealers stood at 2,94,392 units in May 2022.

Two-wheeler domestic sales were also up 17.42 per cent YoY to 1,471,550 units in May.

Similarly, three-wheeler sales surged 70.42 per cent to reach 48,732 units in May 23, compared to 28,595 units a year ago.

Total vehicle dispatches across categories were at 18,08,686 units in May as against 15,32,861 units in the same period last year, Siam data showed.

“All the segments viz passenger vehicles, two-wheelers and three-wheelers have posted growth in double digits in May 2023, compared to May 2022. We anticipate this trend to continue supported by the prevailing economic environment,” Siam president Vinod Aggarwal said.

Rajesh Menon, director general at Siam, said sales of passenger vehicles of May 2023 had been the highest ever in May, returning a growth of 13.50 per cent, compared to May 2022.

“Two-wheelers also posted a growth of 17.40 per cent in May 2023, compared to last year, but are still lower than 2016-17 levels,” he pointed out.

According to Menon the domestic sales of three-wheelers in May 2023 grew by 70.4 per cent compared to May 2022, although on a low base, but it was still lower than the 2018-19 levels.

Automakers have lined up a slew of new product launches across the passenger vehicle and two-wheeler segment to keep the momentum going.