Maruti, Tata Motors see decline as inflation hits auto sales
India's auto industry is witnessing a subdued sales growth as it enters the festive season. This trend is particularly noticeable in the car sector, with wholesales from Tata Motors and Maruti Suzuki experiencing a decline in August 2024. Analysts suggest that this downturn is due to various factors, including rising input costs and inflationary pressures within the world's third-largest automotive market. However, two-wheeler sales seem to have maintained their momentum during this period.
Tata Motors witnessed 8% YoY sales dip
Tata Motors has reported an 8% year-on-year (YoY) drop in total domestic sales for August 2024, with figures falling to 70,006 units from 76,261 units in the same period last year. The company's domestic wholesales of commercial vehicles also saw a significant decrease of 15% YoY. Total sales (domestic+exports) of Maruti Suzuki fell 3.9% YoY to 1.82 lakh units in August while domestic sales declined by 5.3% to 1.56 lakh units.
Toyota India's sales boost 35% YoY
In contrast to Tata and Maruti, Toyota India recorded a substantial rise of 35% YoY in total sales during the same period. The sales figure was at 30,879 units in August 2024, as against 22,910 units a year earlier. Toyota India's Vice President, Sabari Manohar, attributed the company's robust sales growth to strong demand for their products as the festive season approaches. He noted that SUVs/MPVs continue to significantly contribute to the company's sales numbers.
TVS Motor reported 13% growth
In contrast to the overall industry trend, TVS Motor reported a 13% YoY increase in total sales for August 2024 at 391,588 units, up from 345,848 units. The company's two-wheeler sales rose by 14% YoY at 378,841 units vs 332,110 units, while its electric vehicle (EV) sales saw a modest increase of 4% YoY at 24,779 units vs 23,887 units.
MG saw August sales rise, with over 35% being electric
JSW MG Motor India Pvt. Ltd. also bucked the overall industry trend with a 9% YoY increase in retail sales for August 2024. Retail sales for the company stood at 4,571 units in August 2024, up from 4,185 units the previous year. Interestingly, over 35% of all retail sales were electric cars, including the ZS EV and Comet EV models. This data underscores the growing consumer interest in electric vehicles within India's automotive market.
