In August, the automotive industry experienced an unprecedented surge in monthly auto sales, achieving a remarkable 10% growth. This surge was primarily driven by manufacturers accelerating their production in anticipation of robust demand during the upcoming festive season, which commenced with Onam earlier this week.
On the other hand, the two-wheeler sector faced challenges in August, primarily due to Bajaj Auto, which witnessed a decline in its wholesale figures. Among the country's top six motorcycle manufacturers, who collectively account for over 90% of the market, domestic sales increased by 1.3% year-on-year, totaling 1.49 million units. However, if we exclude Bajaj Auto's numbers, the industry demonstrated a healthy growth rate of 7.4%.
Maruti Suzuki, a key player in the automotive market, reported wholesales of 189,082 units in August, marking its highest-ever monthly sales volume. This achievement was driven by sustained strong demand and the introduction of new models in the rapidly expanding sport-utility vehicles (SUV) segment.
Hyundai Motor India, the country's second-largest car manufacturer, also experienced notable growth, with volumes increasing by 9% to reach 53,830 units in August.
Tarun Garg, Chief Operating Officer at HMIL, expressed, "The onset of the festival season in India has begun on a positive note, with robust Onam sales in Kerala. This serves as an encouraging indicator of the festive enthusiasm that is expected to sweep through other regions of the country in the forthcoming months."
As part of its strategy to introduce an upgraded version of the Nexon later this month, Tata Motors, the third-largest car manufacturer in the country, experienced a 4% decrease in its total domestic sales volume for August. This decline in supplies of the current compact SUV model was a contributing factor.
In contrast, Mahindra & Mahindra witnessed an impressive 25% year-on-year surge in sales volume in August, reaching 37,270 units.
Bajaj Auto, however, stood as the sole player with a decline in domestic sales volumes during August, with a notable 31% decrease to 160,820 units. Rakesh Sharma, Executive Director at Bajaj Auto, attributed this decline to a base effect, as the company had been building up stock following the resumption of semiconductor supplies last year. Nevertheless, the company reported a 19% growth in retail sales for August.
Hero MotoCorp, the leader in the two-wheeler market, reported a 5% year-on-year increase in vehicle dispatches, totaling nearly 473,000 units. Honda Motorcycle and Scooter India, the country's second-largest two-wheeler manufacturer, revealed a 7% year-on-year growth in domestic sales, amounting to 451,200 units in August.
In the case of TVS Motor Company, volumes for August exhibited a 7% year-on-year growth, with a total of 256,619 units sold.
