Total vehicle retails for the month of July’21 rise by 34.12% on a YoY basis. When compared to July’19 (a regular pre-covid month), recovery is visible as the deficit reduces to low double digits of -13.22%.
On a YoY basis, all categories were in green with 2W up by 28%, 3W up by 83%, PV up by 63%, Tractor up by 7%, and CV up by 166%.
After Tractors, PV for the first time shows strong numbers by clocking 24% growth when compared to the pre-covid month of July’19.
FADA has been raising a red flag about semi-conductor shortage for quite some time. The situation is now becoming grave with ever-increasing supply-side constraints.
The delta variant and a possibility of 3rd wave continue to remain a threat for stable Auto Retails.
Commenting on how July’21 performed, FADA President, Mr. Vinkesh Gulati said, “With the entire country now open, July continues to see a robust recovery in Auto Retails as demand across all categories remain high. The low base effect also continues to play its part.
With all categories in green, CV’s continue to see an increase in demand especially in the M&HCV segment with the Government rolling out infrastructure projects in many parts of the country.
PV’s witnesses high demand especially with the buzz around new launches and compact SUV segments. The waiting period due to supply-side constraints have been persisting for quite a few months and is now becoming a deep routed issue for OEM’s.
The 2W segment though continues to see positive demand YoY, the rate of recovery remains sluggish as customers at the bottom of the pyramid suffer from poor disposable income and rural markets where covid cases were high during the 2nd wave.
Auto Retails have now started narrowing the deficit when compared to pre-covid months. When compared to July’19, the gap reduces to low double digits of -13%. With Tractor retails already above pre-covid levels during the last month, Passenger Vehicles for the first time have reached the same by growing 24%.”
1- The above numbers do not have figures from AP, MP, LD & TS as they are not yet on Vahan 4.
2- Vehicle Retail Data has been collated as on 07.08.21 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,305 out of 1,519 RTOs.
3- CV is subdivided in the following manner
a. LCV – Light Commercial Vehicle (incl. Passenger & Goods Vehicle)
b. MCV – Medium Commercial Vehicle (incl. Passenger & Goods Vehicle)
c. HCV – Heavy Commercial Vehicle (incl. Passenger & Goods Vehicle)
d. Others – Construction Equipment Vehicles and others