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<\/figure>\n\n\n\nWhile three-wheelers reported highest YoY growth, commercial vehicles (CV) came in with lowest retail sales growth of just 2% YoY in July 2023 along with stagnant sequential growth. Speaking on the commercial vehicles segment, Manish Raj Singhania, Federation of Automobile Dealers Associations (FADA) president, said, \u201cThe commercial vehcile segment showed mixed dynamics. Despite robust stock availability and growth in areas like school buses, challenges from erratic weather and high vehicle costs affected demand. However, infrastructure project boosts remain a silver lining.\u201d Light commercial vehicles retail sales fell 3.2% YoY while all other categories reported positive YoY growth in July 2023. The commercial vehicle sales are expected to improve in the upcoming festive season starting from August to November. <\/p>\n\n\n\n
Next in line tractor segment reported 21% YoY retail sales growth in July 2023 but with a sequential decline of 8%. Tractor sales reported robust growth in FY23 supported by minimum support price (MSP) and good successive monsoons. But the segment might see its growth trajectory slow down on a high base of 2022. Below-average rainfall in August and lower crop yields could impact the purchasing power, especially in rural regions leading to lower tractor sales.<\/p>\n\n\n\n
Passenger vehicle sales in July 2023 were a mixed bag growing 4% YoY and falling 4% sequentially. The month of July saw a surge in orders and timely OEM supplies, with the introduction of new products despite severe monsoons and flood like situations especially in north India. SUVs continued to log in strong sales. Among top Indian original equipment manufacturers (OEMs), Maruti Suzuki reported 10% YoY retail volume growth, Tata Motors 6% YoY and Mahindra & Mahindra 36% YoY in July 2023. According to FADA, \u201cThe PV segment is likely to benefit from festive euphoria and new product introductions coupled with high demand in SUV category.\u201d <\/p>\n\n\n\n
And lastly the two-wheeler segment, where the entry-level category continues to be sluggish. The Two-wheeler segment retail volumes grew 8% YoY and fell 6% sequentially. Bajaj Auto tops the chart, logging in 30% YoY retail volume growth in July 2023. TVS Motors volumes were up 18% YoY. Hero Motors retail volumes witnessed a mild fall in July 2023. Below-average rainfall in August leading to lower crop yields will impact the purchasing power, especially in rural regions. This will adversely impact the two wheeler segment and overall auto market in India. Though there is a sense of cautiousness in the next few months, the upcoming festive season should hopefully unleash some animal spirits. <\/p>\n","protected":false},"excerpt":{"rendered":"
July retail auto sales increased 10% YoY, similar to June 2023. All auto categories reported positive YoY jump in retail sales, but it was a different story sequentially. Three wheelers is the only auto category that witnessed retail sales increase both YoY and sequentially. Three-wheeler retail sales increased 74% YoY and 9% QoQ in July […]<\/p>\n","protected":false},"author":3,"featured_media":1320,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","om_disable_all_campaigns":false,"_mi_skip_tracking":false},"categories":[3],"tags":[10,63,61],"yoast_head":"\n