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Federation of Automobile Dealers Association has released October’20 Vehicle Registration Data today. We appreciate FADA’s pro-activeness in accessing vehicle registration data and publishing it accordingly every month.
Vehicle Registration data is a much relevant and stronger metric in terms of assessing the Industry’s Performance as it highlights the actual sale (from dealer to customer). We explain how – While the passenger vehicle industry had projected a YoY growth of 17.5%; the registrations have actually dipped by -8.8%. This indicates that the OEMs have clearly pushed stocks/vehicles to the dealerships.
Category wise Vehicle Registration / Retail Data –
Vehicle Registrations in October 2020 continued to grow by 5.11% on MoM basis (v/s Sep’20) but falls by -24% on YoY basis (v/s Oct’19).
Only Tractors showed YoY growth in October 2020. While tractors grew an impressive 55.5% in Oct’20 v/s Oct’19; 2-Wheeler degrew by -26.82%, 3-Wheeler by -64.50%, CV by -30.32% and PV by -8.80%. Tractor sales in rural India continues its positive run as Kharif sowing witnessed record progress of area covered till date.
With only Navratri in October as compared to both Navratri and Diwali in October last year, October registrations did not show positive growth.
Three Wheelers recorded the steepest YoY degrowth of -54.5%. With cities under incessant lockdown; the sale of three wheelers have impacted heavily and the sales fall seems inevitable now.
Even CVs too registered >30% YoY degrowth. The segment has taken a huge beating in Covid19 era and both trucks/buses sales have come down drastically.
Dealer Inventory for both 2W and PV are at its newest highs in this Financial Year. The stocks pushed to the dealerships in anticipation of festive season stayed at dealerships as demand wasn’t as expected.
Note:
1- The above numbers do not have figures from AP, MP, LD & TS as all these States/UT’s are not yet on Vahan 4. 2- Vehicle Registration Data has been collated as on 08.11.20 and in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,257 out of 1,464 RTOs.