New Delhi: Grappling with chip shortage and impact of Covid pandemic, the Indian auto industry saw a 6% year-on-year decline in domestic sales in financial year 2021-22.
As per data released by Society of Indian Automobile Manufacturers (SIAM) on Wednesday, the total vehicles sales in the domestic market stood at 1,75,13,596 units in FY22 as compared to 1,86,20,233 in the previous financial year.
Commenting on annual sales data, Kenichi Ayukawa, President, SIAM said that the year gone by was full of unforeseen challenges and new learning for the industry.
“Despite some recovery from a low base, sales of all four segments of the auto industry are below even 2018-19 level. While some segments like Commercial Vehicles and SUVs are seeing improvement in demand, the mass segments like two-wheelers and smaller cars are facing serious affordability issues. Of course, our immediate challenge in most segments is semiconductor availability,” Ayukawa said.
While passenger vehicle, commercial vehicle and three-wheeler segments witnessed a growth during the year compared to a low base of the industry in 2020-21, the two-wheeler segments further declined by 11% from the previous year.
SIAM data showed total two-wheeler sales in domestic market in 2021-22 were 1,34,66,412 units as compared to 1,51,20,783 in the previous year. Domestic passenger vehicle sales in FY22 were 30,69,499 as against 27,11,457 thereby recording 13% growth year-on-year.
Rajesh Menon, Director General, SIAM said, “Overall industry witnessed a de-growth of (-) 6% in FY22. All segments are facing supply side challenges and the industry is yet to see complete recovery following the disruptions it has been facing since early 2020."
As regards monthly numbers, passenger vehicle sales in domestic market dipped 4% in March, 2022 to 2,79,501 as compared to 2,90,939 in the corresponding month last year. Three-wheeler sales remained almost flat during the month.
The total two-wheeler sales were 11,84,210 units in March 2022 as compared to 14,96,806 in the same month previous year recording 21% decline. (UNI)