The Federation of Automobile Dealers Associations (FADA) today released Vehicle Retail Data for December’22 and CY’22.
Commenting on how December’22 and CY’22 performed, FADA President, Mr. Manish Raj Singhania said, “The month of December went into lull after 2 super months of October and November which witnessed adrenaline rush in the entire Auto Industry.
December’22 saw an overall fall of -5%. While all other categories were in the green, it was the 2W segment that once again dragged total sales by falling -11%. 3W, PV, Tractor, and CV during the same period showed growth of 42%, 8%, 5%, and 11%.
Compared to the pre-covid month of December’19, total retails were down by -12%. Here also, the 2W segment pulled down total sales as the same fell by -21%. All the other categories like 3W, PV, Tractor, and CV showed growth of 4%, 21%, 27%, and 9% respectively.
For CY2022, while total vehicle retails grew by 15% YoY and 17% compared to CY’20 it failed to surpass CY19 retails, (a pre-covid year) and registered a fall of -10%. PV category during this period continued to gain new grounds by clocking 34.31L retails during the full year. This is by far, the highest retails that PV has done to date.
The 2W segment once again failed to impress as retail sales during Dec’22 continued to fall after 2 good months. With reasons like rise in inflation, increased cost of ownership rural market yet to pick up fully, and increased EV sales, the ICE 2W segment is yet to see any green shoots.
The 3W segment which was completely down during covid has recovered well and has narrowed its gap when compared to CY2019. Within the segment, it’s the electric rickshaw sub-segment which is showing triple-digit growth thus pushing the EV market share above the 50% mark.
The PV segment has continued to show remarkable consistency in growth during the entire year. While supply woes have decreased, better product spread and ever-highest consumer offers have kept consumer interest on.
The CV segment has continued to grow during the entire CY2022 and is now almost at part with CY2019 retails. With the uptick in demand in LCV, HCV, Buses, and Construction equipment, the government’s continued push for infrastructure development have kept this segment going.
The Tractor segment is the only other segment apart from PV which has grown well above CY2021,20 and the pre-covid year of 2019. It has also registered a new lifetime high sales of 7.94L. This feat was possible due to consistently good monsoon, improved cash flow with farmers, better MSP of crops, and the government’s focus on better procurements. Apart from this, timely sowing of rabi crop also helped to continue this momentum. Festive season sales which were normal after 3 years also played its part in this strong momentum.”