Retail sales of automobile companies fell 10.70%, commercial vehicles saw 20.5% growth

Compared to January 2021, the retail sales of automobile companies in India have decreased by 10.70% in January 2022. The Federation of Automobile Dealers Association (FADA) gave this information. FADA is the association of automobile retail industry in India, leading 26500 dealerships across India.

Three-wheelers and commercial vehicles grew by 30% and 20.5% respectively, while sales of two-wheelers, passenger vehicles and tractors declined by 13%, 10% and 10% respectively.

Inventory of two-wheelers reduced to 25-30 days

Passenger vehicle (PV) is also seeing a decline due to semiconductor shortage. While sales of commercial vehicles (CV) and especially heavy commercial vehicles have been good. Growth of two-wheelers in India has been poor. PV inventories are at historically low levels of 8-10 days, while inventories of two-wheelers have come down to 25-30 days.

Total retail sales declined by 10.7%

FADA said that the government’s plan to build 25,000 km of new national highways will further boost India’s infrastructure spending and have a positive impact on the commercial segment. Commenting on the January 2022 figures, FADA President Vinkesh Gulati said January was a weak month as overall retail sales declined by 10.7% year-on-year, while three-wheelers and commercial vehicles got a green signal with growth of 30% and 20.5%. Is going.

10% sales decline due to Omicron

In our internal survey, 55% of dealers said that the Omicron variant had hit them by 10% in sales, Vinkesh Gulati said. After the third wave of Corona, we hope that there will be a gradual boom in auto retail. Semiconductor shortages are also showing some signs of easing. Many PV OEMs offer better dispatch guarantees. So we expect the availability of vehicles to improve.