New Delhi, May 15
India's car sales recorded a 3.9 per cent increase to 3,48,847 units in April this year from 3,35,629 units in the same month last year, according to figures released by the Society of Indian Automobile Manufacturers (SIAM) on Thursday.
Car exports from India surged nearly 20 per cent year-on-year to 59,395 units in April, while two-wheeler exports increased 14.7 per cent year-on-year to 3,68,201 units as vehicles made by companies such as Maruti Suzuki, Hyundai India and Mahindra finding increasing acceptance in foreign markets, according to SIAM data.
However, two-wheeler sales fell 16.7 per cent to 14,58,784 units during April compared to the massive 17,51,393 units sold in the same month last year.
"The two-wheeler segment de-grew due to the high base effect of April last year, while it is likely to pick up in coming months," said SIAM director general, Rajesh Menon.
Sales of two-wheelers are expected to pick up momentum as a record rabi harvest has now come in, and farm incomes are expected to be higher both due to the rise in yields and higher minimum support price being given by the government.
When it comes to total sales of passenger vehicles, three-wheelers, two-wheelers, and quadricycles in April 2025, the numbers added up to 2,318,882 units.
"The auto industry smoothly transitioned to the new regulatory regime of second stage of On-Board Diagnostics (OBD) 2 regulation for two- and three-wheelers from April 2025 onwards, in addition to rolling out E-20 compliant gasoline vehicles across the country from this month," Menon said.
According to a latest Crisil report, the domestic passenger vehicle (PV) dealership industry will see a revenue growth of around 100 basis points (bps) in the current financial year, supported by a revival in sales volume even as realisations remain range-bound.
Crisil Ratings director Himank Sharma said, "Increasing urban disposable incomes backed by revision in tax slabs, interest rate cuts and a benign inflation, and sustained popularity of SUVs, will fuel urban demand for PVs."
Besides, higher farm incomes amid a normal monsoon and increase in MSP will boost rural sales of vehicles as well, he added.
— IANS
Reader Comments
Great to see Indian auto sector growing! 🇮🇳 The export numbers are particularly impressive - shows our manufacturing quality is being recognized globally. Hope this creates more jobs in the sector. Though I'm concerned about the two-wheeler sales dip, the rural demand should pick up after harvest season.
Finally some good economic news! But why are car prices still so high despite increased sales? Dealers should pass on some benefits to customers. Also, more focus needed on affordable EVs - most options are still out of reach for middle class families.
As someone from rural Maharashtra, I can confirm farm incomes are looking better this year. Many in my village are planning to buy new bikes after Diwali. The MSP increase has really helped. 🚜 Hope the monsoon stays good too!
The transition to OBD 2 and E20 compliance shows our auto industry is becoming more environmentally conscious. But implementation needs to be smoother - many service centers still aren't properly equipped to handle these new systems. Government should provide more support to smaller workshops.
SUV craze continues! But our cities are getting choked with these big vehicles. Can we please have more compact, fuel-efficient options? Also, the export growth is fantastic - shows 'Make in India' is working. Hyundai's Chennai plant is doing especially well I hear.
The numbers look good on paper, but what about the actual ground reality? Many dealerships in tier-2 cities are still struggling with inventory pile-up. SIAM should also track dealer satisfaction and working capital issues. Growth shouldn't just be about pushing more vehicles to showrooms.
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