The Telegraph
Saturday , June 10 , 2017
 

Trucks buck vehicle sales trend in May

New Delhi, June 9: Vehicle sales in the country registered a double-digit growth of 10.05 per cent in May, primarily fuelled by the continued robust performance of the passenger vehicle (PV) segment.

However, the sales of commercial vehicles during the month declined due to lack of buoyancy in economic activity, the Society of Indian Automobile Manufacturers (SIAM) said today.

In May, vehicle sales across categories stood at 20,35,490 units against 18,49,542 units in May last year.

Among the different categories, passenger vehicle sales rose 8.63 per cent mainly driven by the strong sales of utility vehicles. Domestic PV sales in May rose to 2,51,642 units against 2,31,640 units in the same month last year, SIAM said.

Car sales in the domestic market rose by 4.8 per cent to 1,66,630 units last month as against 1,58,996 units in May last year.

"This is the best ever sales performance of passenger vehicles in the month of May. Sales were driven by both utility vehicles and cars, which also posted their best sales in a 'May month' till date," SIAM director-general Vishnu Mathur told reporters here.

New model roll-outs and the continued robust sales in the utility vehicle segment, comprising compact SUVs, have led to a strong growth in May, he added.

In May, utility vehicles grew 18.8 per cent to 69,845 units from 58,793 units in the year-ago period driven by the strong sales of compact SUVs such as the Maruti Vitara Brezza and the Hyundai Creta.

"PV sales continue to do well and with the upcoming GST along with prospects of a good monsoon season, we expect growth momentum to continue going ahead," Mathur said. Despite strong sales, SIAM, however, stuck to its earlier growth forecast of around 10 per cent for the PV segment.

Last month, Maruti Suzuki India continued its domination in the domestic PV space by selling 1,30,248 units at a growth of 15.10 per cent.

Rival Hyundai Motor India was a distant second with 42,007 units with a growth of 1.59 per cent followed by home-grown Mahindra & Mahindra at the third spot with 20,270 units, up 3.23 per cent.

Tata Motors overtook Honda Cars India to take the fourth spot with 12,499 units, up 32.18 per cent, while Honda Cars sold 11,278 units during the month, up 13.3 per cent.

Sales of commercial vehicles, however, declined 6.36 per cent to 53,457 units in May, SIAM said.

"There is lack of buoyancy in economic activity at the moment and that is hampering sales in the segment. But, with activity likely to pick up, we expect CV sales to recover in the second half of the year," SIAM deputy director-general Sugato Sen said.

Pre-buying in the months of January, February and March also impacted sales in May, he added.

In the two-wheeler segment, total sales in May increased 11.89 per cent to 16,94,325 units compared with 15,14,334 units in the year-ago month.


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