January auto sales: Having pipped Japan as the third-largest automobile maker recently, considerably healthy auto sales in January, have come after muted December, 2023 auto sales. As per Society of Indian Automobile Manufacturers (SIAM) data released on Wednesday, total Passenger Vehicle (PV) production stood at 23,28,329 units, while PV sales, which include three-wheelers, two-wheelers, and quadricycles, have also seen an uptick in sales. Total PV sales have risen by 12 per cent to 3.93 lakh units in January, pushed by new launches, and more demand owing to the wedding season.  However, as per SIAM Interim Budget's mobility push, a boost to electric vehicle infrastructure was helping the auto sector. 

Talking to Republic Business, Vinod Aggarwal, President SIAM said, “The announcement on strengthening the Electric Vehicle ecosystem by supporting manufacturing and charging infrastructure, will boost the development and adoption of EVs in the country."

He further stated that the encouragement of Payment Security Mechanism for adoption of e-buses for public transport networks is also a welcome step.

The domestic sales of passenger vehicles stood at 3,93,074 units, while sales of 53,537 three-wheeler units were recorded, and the two-wheeler segment saw sales of 14,95,183 in January this year.  The domestic car sales in January as per the SIAM data recorded 1.27 lakh units. 

PVs resilient

Commenting on sales data of January 2024, Vinod Aggarwal, President, SIAM said, “Passenger Vehicle sales have remained resilient led by positive consumer sentiments, while the two-wheeler segment witnessed good growth in January as well, as the rural market continues to recover.” 

“Three-Wheeler segment has also performed better. Though the commercial vehicle sector did not grow in January 2024, it is likely to see good offtake in the next two months of this financial year,” the SIAM President added. 

Aggarwal said the government’s strategic focus on mobility in the Interim Budget 2024, including strengthening the electric vehicle ecosystem, especially the charging infra and public transport, will help in continuing the overall growth momentum for the auto sector. 

Rajesh Menon, Director General, SIAM said, “Passenger Vehicles again saw highest-ever sales in the month of January posting a growth of 14 per cent, as compared to the previous year," 

“Three-wheeler sales grew by 9 per cent during January 2024 while two-wheelers posted a good growth of 26 per cent in January 2024, compared to January 2023. Passenger vehicles and three-wheelers continue to post their highest ever sales till date, in FY 24, for the period April to January,” said the SIAM DG. 

As per the SIAM communique, since the detailed break-up of Tata Motors monthly data is not available, the January 2024 report will continue to have production, domestic Sales and export data without Tata Motors. Hence, the SIAM communique reflects the total passenger vehicle sales 3,46,080 units for January, 2023 and 3,93,074 units for January, 2024, while the SIAM Reports mention 2,98,093 units for January, 2023 and 3,39,441 units for January 2024.