While the Auto Industry is already going through a slowdown; COVID-19 worsened the scenario and has disrupted the supply chain as well. A lot of vendors are based out of China and the shortage of parts have heavily impacted the productions and subsequently dispatches. The changeover to BS 6 norms shall now be even more dreadful for both OEMs and respective dealer partners. The Auto Industry degrew -6.8% in Feb’20 v/s Feb’19 and it was one of the steepest falls in the month of February in the past 10 years.
- Maruti is a magician of sorts. The OEM anticipated the BS6 turmoil much well in advance and prepared its entire portfolio for transition. Even one of its bestseller Brezza went through the change and petrol only Brezza was launched in Feb’20. However; it is yet to be seen how the strategy shall turn out in long term. Basis Feb’20 performance alone; Maruti dominated the Market Share and registered over 53% MS!
- Kia created history by becoming the No.3 OEM in the shortest span of time. This feat was achieved within 7 months of sales operations and is a record by itself! Kia overtook the biggies like Tata, Mahindra, Toyota & Honda to place itself in the Top 3 manufacturers list.
- Kia garnered an impressive market share of 6.2% – combine this with Hyundai; the duo’s Market Share shall be 22.2%. The Top 3 OEMs collectively shall command a humongous Market Share of 75.5%.
- COVID19 has seriously affected Mahindra’s production and the OEM registered a massive drop of -56%. The drop led M&M to slid into the No.5 OEM position and it also lost -4.8% Market Share in Feb’20 v/s Feb’19.
- Tata Motors is not gaining any ground even with new launches in hand. Even post Altroz’s launch the Indian OEMs volumes dipped -31% YoY.
Market Share figures for Feb’20 –