Motown rings in best-ever February on new and affordable models
NEW DELHI: Vehicle registrations rose 26% year-on-year to 2.41 million units in February aided by strong demand for two-wheelers, passenger vehicles, tractors, and commercial vehicles, showed data collated by the Federation of Automobile Dealers Associations. The robust growth was supported by improved product affordability following cuts in the GST last September, the dealers body said.
FADA president CS Vigneshwar said the industry saw record sales in February. "The growth was broad-based across almost all segments," he said. On a YoY basis, two-wheeler registrations grew by 25%, three-wheelers 24%, passenger vehicles 26%, and commercial vehicles 29% last month, reflecting healthy demand across personal mobility as well as economic activity-driven segments. Tractors too continued their strong run, growing by 36% but construction equipment sales fell 1%.
Two-wheeler retails remained broad-based, with sales in urban markets rising 29% and rural markets by 22% last month. Dealers attributed it to improved rural liquidity after good harvest, attractive marketing schemes, and better affordability post the GST changes. Marriage season and new product introductions also supported enquiries. However, in some regions, supply constraints in select models and board examinations tempered the strong momentum.
Commercial vehicle retails too remained strong amid improved freight availability, steady ecommerce activity, and infrastructure-linked demand.
In the PV segment, while urban retails rose 21%, rural markets clocked a 34% rise, indicating continued strong demand momentum beyond metros. "The sharper rural growth is encouraging as it is supporting the sale of small cars, even as SUVs and UVs continue to drive overall volumes," said Vigneshwar.
PV stock levels further reduced by five days to 27-29 days, which is a healthy sign, according to FADA.
FADA president CS Vigneshwar said the industry saw record sales in February. "The growth was broad-based across almost all segments," he said. On a YoY basis, two-wheeler registrations grew by 25%, three-wheelers 24%, passenger vehicles 26%, and commercial vehicles 29% last month, reflecting healthy demand across personal mobility as well as economic activity-driven segments. Tractors too continued their strong run, growing by 36% but construction equipment sales fell 1%.
Two-wheeler retails remained broad-based, with sales in urban markets rising 29% and rural markets by 22% last month. Dealers attributed it to improved rural liquidity after good harvest, attractive marketing schemes, and better affordability post the GST changes. Marriage season and new product introductions also supported enquiries. However, in some regions, supply constraints in select models and board examinations tempered the strong momentum.
In the PV segment, while urban retails rose 21%, rural markets clocked a 34% rise, indicating continued strong demand momentum beyond metros. "The sharper rural growth is encouraging as it is supporting the sale of small cars, even as SUVs and UVs continue to drive overall volumes," said Vigneshwar.
PV stock levels further reduced by five days to 27-29 days, which is a healthy sign, according to FADA.
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