Car sales maintain growth despite election and heatwave challenges

In June 2024, India’s wholesale numbers for domestic passenger vehicles (PV) saw a 3.7% year-on-year increase to 340,784 units, buoyed by the launch of new models despite challenges such as elections and heat waves. For the first half of 2024, PV sales grew by 7.6%, totaling 2.168 million units compared to 2.015 million units in the same period last year. Maruti Suzuki India (MSIL), the largest carmaker in the country, reported a 3% year-on-year rise in domestic PV wholesales to 137,160 units in June 2024, with total sales for the April-to-June quarter reaching 419,114 units.

MSIL also achieved a significant milestone in exports with 31,033 units shipped in June 2024, marking a robust 57% increase from June 2023. However, the entry-level mini segment, including models like Alto and S-Presso, saw a decline to 9,395 units from 14,054 units a year earlier. Hyundai Motor India Limited (HMIL), the second-largest player, recorded total sales of 64,803 units in June 2024, representing a marginal decrease of 1.22% year-on-year. HMIL closed the first half of 2024 with total sales of 385,772 units, reflecting a 5.68% growth compared to the same period last year.

SUVs accounted for 66% of HMIL’s domestic sales, driven by strong performance from models like the new Hyundai CRETA, which registered 91,348 units sold—an 11% increase from the previous year. Tata Motors faced challenges in June 2024 with an 8% decline in PV sales to 43,624 units, while managing flat wholesales at 138,682 units for the first quarter of FY25 compared to the previous year.