New Delhi, Aug 9
Automobile retail sales in India came back strongly in July with the opening of dealerships across the country as COVID-led restrictions were eased in the affected states, dealers’ body FADA said on Monday.
All vehicle segments, including passenger vehicles, two-wheelers and commercial vehicles reported robust sales growth last month.Total sales saw an increase of 34 per cent to 15,56,777 units in July, as compared to 11,60,721 units in the same month of last year.“With the entire country now open, July witnessed robust recovery in auto retails as demand across all categories remained high. Besides, the low base effect also continues to play its part,” Federation of Automobile Dealers Associations (FADA) President Vinkesh Gulati said in a statement.Passenger vehicle sales increased by 63 per cent to 2,61,744 units last month, as compared to 1,60,681 units in July 2020.Gulati noted that the segment witnessed robust demand with buzz around new launches and compact SUV models.However, long waiting periods due to supply-side constraints continue to persist for the last few months and are becoming a cause of concern for original equipment manufacturers (OEMs), he added.Two-wheeler sales rose 28 per cent to 11,32,611 units last month, as against 8,87,937 units in July 2020.“The two-wheeler segment continues to see positive demand year-on-year (YoY). However, the rate of recovery remains sluggish as customers at the bottom of the pyramid suffer with poor disposable income and rural markets where COVID cases were high during the second wave,” Gulati noted.Commercial vehicle retails grew over two-fold in July to 52,130 units, from 19,602 units in the same month last year.Gulati noted that the segment is witnessing growth due to increase in demand especially in the medium and heavy commercial vehicles (M&HCV) segment with the government rolling out infrastructure projects in many parts of the country.
