As per the data released by FADA, total vehicle retails for the month of September’21 decreased by -5.27% YoY. When compared to September’19 (a regular pre-covid month), overall retails continue to fall by -13.50%.
On a YoY basis, 3W was up by 51%, PV up by 16% and CV was up by 47%. 2W and Tractors fell by -12% and -24% respectively.
The full-blown semiconductor crisis continues further and shows its impact on PVs. Dealers are not able to fulfill customer demand due to demand-supply mismatch resulting in a long waiting period.
The commercial vehicle segment continues to gain strength as medium CV for the first time rises above pre-pandemic levels of 2019.
With first half of FY 21-22 coming to an end, total retails grew by 35% YoY with highest growth seen in CV segment at 127%. When compared to 2019, a pre-covid year, overall retails were down by -29%. Except tractors which has grown by 19%, all the other categories continued to be in red.
Commenting on how September’21 performed, FADA President, Mr. Vinkesh Gulati said, “Auto retail in the month of September has taken a pause as overall sales were down by -5%. During the 1st half of this FY, while the overall retails were up by 35%, the same was down by -29% when compared to 2019, a pre-covid year. On a long-term basis, except tractors which grew by 19%, and PV which has almost reached pre-covid levels, all the other segments were in the red.
The 2W category continues to play spoilsport as the entry-level segment is yet to witness healthy growth. This segment’s performance is now becoming critical for the overall 2W to come back on the path of recovery as dealer inventory rises to 30-35 days in anticipation of a good festive. Semiconductorshortage has also started impacting the 150+ cc segment.
The 3W segment is now showing clear signs of a tactical shift from ICE to EVs as the ratio has hit a 60:40 split. With offices and educational institutions slowly opening up, electrification of 3W’s will gather greater momentum in months to come.
As we enter the core of this year’s festive season, the full-blown semiconductor crisis continues to create hindrance in PV sales as vehicle inventory at dealers end dip to record lows of 15-20 days during the current fiscal. With high demand in this segment, the long waiting period continues to frustrate and keep enthusiast buyers in a fix.
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 05.10.21 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,347 out of 1,562 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