Motor vehicles production & sales grow in July 2022; market still weak for entry-level vehicles: SIAM report
New Delhi: There has been an uptick in the performance of the motor vehicles sector across segments with the total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles in the month of July 2022 at 2,197,954 units, and domestic sales at 1,706,545 units, according to Society of Indian Automobile Manufacturers (SIAM) report.
Passenger vehicle sales, including passenger cars, utility vehicles, and vans, in July 2022 stood at 293,865 units while it was 264,442 units on July 21.
Three-wheeler sales, including passenger carriers, goods carriers, e-rickshaw, and e-cart, stood at 31,324 units while it was 18,132 units in July 21.
Two-wheeler sales, Scooter/ Scooterettee, Motorcycle/Step-Throughs, Mopeds, during the month under review stood at 1,381,303 units compared to 1,260,140 units in July 21.
Total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles in April-July 2022 was 8,267,268 units.
In April-July 2022, the total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles was 8,267,268 units.
The report said passenger vehicles sales stood at 1,204,296 units in April-July 2022, three-wheeler sales were 107,617 units while two-wheeler sales were 5,105,836 units in April-July 2022
Commenting on the July 2022 sales data, SIAM Director General Rajesh Menon said the market for entry-level passenger cars, two-wheelers, and three-wheelers is yet to recover.
Sales in the passenger vehicle segment stood at nearly 2.9 lakh units, in the two-wheeler segment close to 13.8 lakh units, and in the three-wheeler segment approximately 31 thousand units.
"Sales of two-wheelers in July 2022 are still below July 2016 numbers and sales of three-wheelers are still below July 2006 numbers. Third hike in a repo-rates in a row, to rein in high inflation, will make Auto loans costlier, making it more difficult for entry-level vehicles to recover," he said.
SIAM would also like to whole-heartedly thank the government of India for the recent decision to allocate a higher amount of domestic gas for the CNG segment, Menon said, adding that this would significantly bring down the input cost of gas companies.
"We hope, that in line with the government’s intent, the gas companies would pass on the entire benefit to the end consumers by reducing retail CNG prices,” he added.