The Federation of Automobile Dealers Associations (FADA) today released Vehicle Retail Data for June’22.
June’22 Retails
Commenting on how June’22 performed, FADA President, Mr. Vinkesh Gulati said, “Auto Retail for the month of June’22 continued to show its positive run when compared YoY with June’21, a month which continued to face the brunt of covid.
When compared to June’19, a pre-covid month, overall sales were down by -9%. Apart from PV and Tractors which were already above pre-covid level for last few months and grew by 27% and 40%, CV for the first time showed a growth of 4% thus indicating recovery slowly creeping in for this segment. While 3W narrowed its de-growth and was at down by -6%, it’s the 2W segment which still remains the biggest cause of concern and is not picking as per expectation. The same was down by -16%.
Poor market sentiment especially in rural India, high cost of ownership, inflationary pressure and June generally being a lean month due to rains kept 2W sales at low speed. In the 3W category, a major shift has happened in electric category. Apart from this, permit issues and frequent price increase remained the biggest dampeners.
The PV segment continued to see robust growth. An increase in wholesale clearly shows that semi-conductor availability is now getting easier. Waiting period, especially in compact SUV and SUV segment continued to remain high. New vehicle launches are seeing robust booking thus reflecting healthy demand pipeline.
The CV segment showed strength for the first time as it grew by 4% when compared to June’19, a pre-covid month. Bus segment along with LCVs are showing good traction.”
Near Term Outlook
The Russia – Ukraine crises has increased inflationary pressure world over. RBI Governor during the recent Monetary Policy meeting has also flagged high inflation as a major cause of concern. In the past few months, prices of almost all essential items have moved northwards, thereby putting pressure on the common man’s household budget and thus reducing his disposable income. Additionally, the high fuel prices have had a spill over effect on transportation and made it expensive. This will have a negative effect on entry level PV as well as 2W segment which are generally dominated by first time buyers.
On the other hand, ease in availability of semi-conductors will see increased supply especially in PV segment and thus reduce waiting period.
If Rural India stabilises, Auto retail will enter festive season on a good note.
Key Findings from our Online Members Survey
Inventory at the end of June’22
Average inventory for Passenger Vehicles ranges from 15 – 20 days
Average inventory for Two – Wheelers ranges from 20 – 23 days
Liquidity
Neutral 41.8%
Good 40.0%
Bad 18.2%
Sentiment
Good 41.8%
Neutral 41.8%
Bad 16.4%
Expectation from July
Growth 50.3%
Flat 35.2%
De-growth 14.5%
Chart showing Vehicle Retail Data
All India Vehicle Retail Data for June’22
CATEGORY
JUNE’22
JUNE’21
YoY %
JUNE’20
% Change w.r.t JUNE’20
JUNE’19
% Change w.r.t JUNE’19
2W
11,19,096
9,30,825
20.23%
7,95,834
40.62%
13,38,154
-16.37%
3W
46,040
14,735
212.45%
12,079
281.16%
48,830
-5.71%
PV
2,60,683
1,85,998
40.15%
1,28,374
103.07%
2,05,250
27.01%
TRAC
57,340
52,289
9.66%
45,763
25.30%
40,954
40.01%
CV
67,696
35,810
89.04%
10,628
536.96%
65,136
3.93%
LCV
40,349
21,729
85.69%
8,434
378.41%
38,917
3.68%
MCV
4,709
2,100
124.24%
79
5860.76%
4,749
-0.84%
HCV
19,380
9,591
102.06%
347
5485.01%
18,928
2.39%
Others
3,258
2,390
36.32%
1,768
84.28%
2,542
28.17%
Total
15,50,855
12,19,657
27.16%
9,92,678
56.23%
16,98,324
-8.68%
Source: FADA Research
All India Vehicle Retail Data for Q1 FY’22
CATEGORY
Q1 FY’22
Q1 FY’21
Q1 FY’20
Q1 FY’19
YoY % (2021)
YoY % (2020)
YoY % (2019)
2W
35,38,718
22,07,324
12,75,708
40,97,089
60.32%
177.39%
-13.63%
3W
1,29,944
41,590
24,543
1,49,013
212.44%
429.45%
-12.80%
PV
7,93,238
4,83,163
1,82,407
6,77,702
64.18%
334.87%
17.05%
TRAC
1,58,169
1,07,231
61,668
1,17,410
47.50%
156.48%
34.72%
CV
2,12,886
1,04,929
31,950
2,19,189
102.89%
566.31%
-2.88%
LCV
1,23,004
59,763
21,986
1,34,108
105.82%
459.46%
-8.28%
MCV
13,402
6,570
1,710
13,086
103.99%
683.56%
2.42%
HCV
66,836
31,918
5,385
57,478
109.40%
1141.12%
16.28%
Others
9,643
6,678
2,868
14,518
44.41%
236.23%
-33.58%
Total
48,32,955
29,44,237
15,76,276
52,60,403
64.15%
206.61%
-8.13%
Source: FADA Research
Disclaimer:
The above numbers do not have figures from AP, MP, LD & TS as they are not yet on Vahan 4. However, for June’22 Numbers Andhra Pradesh Data has been covered.
Vehicle Retail Data has been collated as on 03.07.22 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,282 out of 1,409 RTOs.
CV is subdivided in the following manner
LCV – Light Commercial Vehicle (incl. Passenger & Goods Vehicle)
MCV – Medium Commercial Vehicle (incl. Passenger & Goods Vehicle)
HCV – Heavy Commercial Vehicle (incl. Passenger & Goods Vehicle)
Others – Construction Equipment Vehicles and others
June’22 Category-wise market share can be found in Annexure 1, Page No. 04
