Higher cost and supply-side constraints weigh on auto sales in February
New Delhi: Higher costs, along with supply-side constraints, impacted India’s automotive sector sales in February 2022 on a year-on-year basis.
Sales of passenger cars and two- and three-wheelers in February were lower on an annual basis.
In terms of PV, challenges related to the availability of electronic components reduced production and dragged sales down. The shortage has extended waiting times and driven up prices.
The industry was only able to produce 170,428 passenger car units in February 2022 from 181,247 units manufactured in the corresponding period of the previous year.
Data provided by the Society of Indian Automobile Manufacturers (SIAM) does not include figures from some key players such as Tata Motors.
Sales of passenger vehicles fell to 262,984 units in February from 281,380 units sold in the corresponding month of 2021. By segment, a total of 133,572 passenger cars were sold domestically in February, from 155,128 units sold under similar conditions. period of 2021.
According to the data, UV sales stood at 120,122 units from 114,350 units, on the other hand, pickup truck sales decreased to 9,290 units from 11,902 units a year ago.
In addition, two-wheeler sales decreased in February 2022 to 1,037,994 units from 1,426,865 units sold in the same month of 2021. Additionally, three-wheeler sales in the month under review fell to 27,039 units compared to 27,656 units sold in February 2022.
Overall, the domestic automotive sectors’ levy representing sales of passenger vehicles, two-wheelers, three-wheelers and quadricycles fell to 1,328,027 units from 1,735,909 units sold during the same period. from last year.
Also, the data showed that exports were higher on an annual basis. Overall exports, including PVs, two- and three-wheelers and quadricycles, rose to 463,025 units from 441,797 units in the same period last year.
“Ongoing supply-side challenges such as shortages of semiconductors, rising costs due to new regulations, rising raw material prices, rising logistics costs, etc. have had an impact on overall sales in the automotive industry,” said Rajesh Menon, managing director of SIAM.
“The industry is closely monitoring the possible impact of the ongoing conflict in Ukraine, as global supply chains could come under strain.”