Production is expected to touch 10.9 million vehicles this year. According to the Society of Indian Automobile Manufacturers, the passenger vehicle market is likely to grow to 13.15 lakh units by 2006-end, against 11.06 lakh units last year, a growth of 19 per cent.
The compact, mid-size and executive segments, which account for over 70 per cent of total sales in the domestic market, witnessed major growth.
The two-wheeler market, which forms 72 per cent of total sales in the auto sector, is expected to grow at 15 per cent with bikes leading the growth.
The two-wheeler sales in 2006 are likely to reach 78.16 lakh units compared with 67.96 lakh units of last year, with 90 per cent sales coming from the bike segment.
The three-wheeler sales have also been encouraging during 2006 and are expected to see over 20 per cent growth with total sales likely to reach 4.07 lakh units in 2006 against 3.39 lakh in 2005.
In the passenger carrier category, three-wheelers picked up growth momentum this year and are expected to register a growth of 22 per cent compared with 17 per cent for goods carriers. Last year, goods carriers grew at a higher rate than passenger carriers.
The commercial vehicle segment has clocked the highest growth at 30 per cent.
Major impetus came in the forms of the Supreme Court verdict banning overloading, the general boom in the economy and the improved road network, pushing growth in the multi-axle heavy commercial vehicles segment by 35 per cent during this calendar year.
The medium and heavy commercial vehicle sales during 2006 are expected to record 30 per cent growth with total sales of 2.58 lakh units against 1.98 units in the previous year.
The major lead in growth is expected from goods carriers, which are growing at about 34 per cent while the passenger carrier segment is laggard at 5-7 per cent growth.
The light commercial vehicle segment is expected to close the year with 1.75 lakh units, up 30 per cent over 1.34 lakh units in the last calendar year.
