NEW DELHI: There was a dip in passenger vehicle (PV) sales (dispatches by manufacturers) in the
festive heavy month of November 2023 when compared with October 2023 sales. As the festive season ended in the first half of last month, automakers reduced filling up dealer showrooms amidst a drop in buying interest from consumers.
As per data shared by industry executives, PV wholesales in November came down to 3.35 lakh units as against 3.91 lakh units sold in October. On annual basis, however, November 2023 sales were up nearly 4% from 3.22 lakh units in November 2022. Maruti Suzuki (MSIL), India’s largest carmaker, wholesales fell from nearly 2 lakh vehicles (domestic plus exports) in October 2023 to 1.64 lakh units in November 2023. Its domestic PV sales came down from 168,047 units in October 2023 to 134,158 units in November 2023. It registered a drop in every segment, be it mini, compact or the fast growth SUVs.
Shashank Srivastava, executive director, sales & marketing at MSIL, said there has been a drop in retail and bookings, particularly after the festive season that ended mid-November, but bookings for MSIL rose by 7% last month. He said companies need to be careful and plan production accordingly in December to balance the situation.
Srivastava expects inventory level at dealer showrooms to come down in December due to aggressive schemes and offers by carmakers. Currently, stock levels in PV industry are pegged at 30-35 days inventory with a cumulative estimate of 330,000 units. Hyundai Motor India COO Tarun Garg said the growth momentum continued but as industry players undertake stock correction ahead of the year-end, wholesales are expected to taper down. “Hyundai have three weeks of inventory at the moment and it will go down to two weeks by the end of December,” he added.
Garg stated Hyundai’s SUV contribution to total sales was the highest at 68% in November. Garg also said that the company is considering a price hike in near future. Hyundai’s November 2023 sales stood at 49,451 units as against 55,128 units sold in October 2023. Tata Motors’ November 2023 dispatches stood at 46,068 units as against 48,337 units in October 2023 while Mahindra & Mahindra’s November sales came down to 39,981 units in November from 43,708 units in October.
