The automobile sector is considered a good indicator of economic health. It has a very long value chain, from primary materials, like metals, glass and plastic, to value-added high-end electronic components, specialised alloys, and software.
Car sales are likely to grow further in November.
Indian automakers dispatched nearly 2.92 lakh passenger vehicles, the highest ever for February so far, driven by strong demand for cars and utility vehicles, industry body SIAM said on Friday. The total passenger vehicle dispatches from companies to dealers last month increased 11 per cent to 2,91,928 units from 2,62,984 units in February 2022. Passenger car sales rose to 1,42,201 units in February against 1,33,572 units in the year-ago period.
Snapdeal's rival Flipkart had last announced its GMV in March this year -- $1 billion. Many rounds of funding later, sources estimate Flipkart's GMV at about $3 billion, a figure Snapdeal is trying to catch up with.
Reeling under the impact of hardening interest rates, domestic passenger car sales growth came down to single digit in May at 9.07 per cent, while motorcycles suffered badly with a 16.36 per cent slump.
According to the figures released by the Society of Indian Automobile Manufacturers on Tuesday, motorcycle sales in the country during the month was up 25.94 per cent at 6,11,173 units from 4,85,270 units in the corresponding month a year ago.
Car sales in the domestic market overcame sluggish demand in the inauspicious shradh period and grew a healthy 22.4 per cent in September this year at 94,734 units against 77,384 units in the same month last year.
Beginning with a bang amid all the glitz and glamour of the biennial Auto Expo, the year will be ending with a whimper for the automobile industry as sales dwindle, and the worst-ever industrial violence at Maruti Suzuki's Manesar plant leaves a big scar.
Passenger car sales rose 8.3 per cent in the domestic market in January at 84,235 units against 77,744 units in the same month last year.
Brokerages expect Nifty50 firms to post 11.8% growth in net profit in Q1 but sales may decline
According to figures released by the Society of Indian Automobile Manufacturers on Thursday, motorcycle sales in the country grew by 22.67 per cent to 8,69,070 units during the month from 7,08,476 units in the corresponding month last year.
Domestic passenger car sales grew by 2.89 per cent in March at 114,195 units as against 110,978 units in the same month a year ago.
Within a day of the announcement of the increase in fuel prices by Union government, the electronic-bike manufacturers have witnessed record sales in their bikes and received lot of enquiries for setting up dealers network across the country. "Hike in petrol prices is a positive development for the e-bike industry and we expect it will boost the sales of battery driven bikes by at least 5-10 per cent," Avon Cycles Senior Manager (Marketing), U S Dubey said.
According to figures released by Society of Indian Automobile Manufacturers, domestic motorcycle sales during the month was at 3,75,004 units as against 4,53,152 units in July 2006, down by 17.25 per cent.
India's domestic passenger car sales rose 7.64 per cent in November, slowing after three months of double-digit growth as buyers postponed year-end purchases to the next year to boost resale values.
The total incentive outgo under the ambitious production-linked incentive (PLI) scheme is estimated to be less than Rs. 40,000 crore by the fiscal year 2024-25 (FY25), when it completes the fourth year of implementation, according to the government's internal estimates. This means only a fourth of the allocated Rs 1.97 trillion is expected to be utilised by the end of FY24, indicating that not all the 14 PLI schemes would have taken off fully. While three of the 14 schemes - large-scale electronics manufacturing, bulk drugs, and medical devices - were introduced in 2020, the remaining were launched the following year.
With no signs of economic revival under the current political circumstances, SIAM said it expected a turnaround in the fortune of the auto industry only after a new government is formed after the general elections next year.
Says the automobile sector would grow double digit in Asia's third largest economy after financial year 2017-18.
Domestic car sales rose by 15.2 per cent in March 2003 as the top three automakers, Maruti Udyog, Hyundai and Tata Engineering, reaped benefits.
In a major victory for Tatas, an arbitral tribunal has awarded Tata Motors a compensation of over Rs 766 crore for the losses incurred because of protests by Trinamool Congress that stalled its small car project at Singur in West Bengal. The tribunal asked the West Bengal government to pay Tata Motors the compensation, along with interest, according to a stock exchange filing by the Mumbai-based auto major on Monday. The company stated that the arbitral tribunal has asked the West Bengal Industrial Development Corp (WBIDC) to pay the company Rs 766 crore compensation, in connection with losses incurred on its manufacturing site in Singur.
General Motors India is aiming to increase sales three-fold over the next three years, with the five new models it is planning to launch in collaboration with Shanghai Automotive Industry Corporation.
Domestic passenger car sales in June grew by 16.36 per cent at 94,002 units as against 80,784 units in the same month a year ago.
The Indian automobile industry entered the big league as car sales touched 1.03 million units during 2003-04, notching an impressive 32 per growth.
During April, Maruti Suzuki India's domestic car sales were up 2.72 per cent at 86,481 units, as against 84,188 units in the same month last year.
Discussions are also going on to bring PLI scheme for toys, furniture, bicycles and containers. The objective of the scheme is to make domestic manufacturing globally competitive, create global champions in manufacturing, boost exports and create jobs.
According to the Icra report, earnings before interest, tax, depreciation and amortisation margin of its sample declined by 44 basis points on a YoY basis and 23 basis points on a quarter-on-quarter basis to 16.6 per cent.
Passenger vehicle dispatches to dealers in India rose over two-fold last month on a low base of Covid-19-hit May last year. As per the Society of Indian Automobile Manufacturers (SIAM), passenger vehicle wholesales rose to 2,51,052 units last month as compared to 88,045 units in May 2021. The two-wheeler sales rose to 12,53,187 units in May as compared to 354,824 units in the year-ago period.
Based on discussions with stakeholders, the ministry is proposing to allocate Rs 26,400 crore for FAME-III subsidy alone with electric two wheelers getting around Rs 8,158 crore, electric buses Rs 9,600 crore and electric three-wheelers Rs 4,100 crore, according to sources in the know. Along with some other components like setting up an innovation fund and money for testing , the total allocation could cross Rs 33,000 crore, estimates suggest.
At a time when many major global auto markets witnessed declines, Indian carmakers were able to expand their overseas presence with exports from the country registering a robust 33.23 per cent growth in the last fiscal.
Car sales surged by a robust 18.1 per cent in August 2004, for the fifth consecutive month this year as a spate of new models and easy availability of loans with low interest rates drove the industry northward.
Maruti Suzuki's inventory across its dealerships is a 100,000 vehicles at the end of any month. However, it was only 34,000 vehicles at the end of December 2016.
The Union Cabinet on Wednesday approved a Rs 26,058 crore production linked incentive (PLI) scheme for auto, auto-components and drone industry to enhance India's manufacturing capabilities, Union Minister Anurag Thakur said on Wednesday. The PLI scheme will incentivize the emergence of advanced automotive technologies' global supply chain in India.
With retail outlets, hotels, restaurants, logistic companies and even telecom firms hiring temporary staff to manage the increased footfall during the festival season or September-December months, festive hiring has gone up by over 25 per cent this year.
Vehicle sales across categories registered an increase of 5.03 per cent to 16,03,292 units from 15,26,514 units in November 2013.
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Sales of commercial vehicles rose 9.01 per cent to 51,000 units in December, SIAM said.
Gloomy macro-economic factors and negative sentiments continue to hit demand.
Fuelled by the $57.8-billion merger of HDFC twins (HDFC Ltd and HDFC Bank), M&A (merger and acquisition) transactions in India touched a record high of $124.2 billion in the first half of 2022-23. Bankers said with several transactions, including the government's stake sale in IDBI Bank and Hindustan Zinc in the pipeline, the ongoing financial year will end up as the best year for M&A activity in the country. Apart from the HDFC transaction, the $6.5-billion acquisition of Holcim stake by the Adani family and L&T's $3.2-billion acquisition of Mindtree added to the record transactions in the first half of FY23.
Auto loan costs remain stubbornly high.
