New car, SUV sales continue growth momentum in July 2021

    Published On Aug 03, 2021 07:32:00 PM

    29542 Views

    img

    Sales growth continues in PV segment on account of pent-up demand and need for personal mobility.

    Following on fromJune 2021, automotive sales in July 2021 continued to register a strong increase in volumes. This can be attributed to the pent-up demand induced by the lockdowns following the second wave of COVID-19 earlier this year, as well as a good monsoon that is getting rural demand back on track.

    It’s interesting to note that the sales volume has increased despite high petrol and diesel prices. And that’s because the need for personal mobility over public transport has sustained. As per Tarun Garg, director of sales, marketing and service, Hyundai Motor India, people want to have a car at their disposal and travel together with their families safely. Therefore products high on safety, connectivity and features are driving the market right now.

    Here’s a closer look at the company-wise sales performance from last month:

    Maruti Suzuki India: (1,33,732 units / +37 percent)

    The bellwether of the Indian automobile industry,Maruti Suzuki, inched closer to its July 2018 sales level of 1,52,427 units. On a month-on-month basis too, MSIL registered an uptick of 7.60 percent over 1,24,280 units sold in June 2021.

    The entry-level duo of Alto and S-Presso posted 13 percent month-on-month growth, at 19,685 units (June 2021: 17,439), while the Wagon R, Swift, Celerio, Ignis, Baleno, Dzire and Tour S sold a total of 70,268 units (June 2021: 68,249 / +2 percent). The Vitara Brezza, Ertiga, S-Cross, Gypsy and XL6 went home to 32,272 buyers, recording a 14.5 percent uptick over June’s 28,172 units.

    As far as upcoming launches go, Maruti Suzuki is lining up a slew of model updates, apart from the all-new Celerio’s market launch in the coming months.

    Hyundai Motor India: (48,042 units / +25.8 percent)

    Hyundaitoo witnessed the return of demand last month with 48,042 units, an almost 26 percent YoY growth over 38,200 units of July 2020. On a month-on-month basis, it saw over 18 percent growth versus the 40,496 units sold in June 2021. While theCretastill commands dominance in the midsize SUV segment, the newly-launched Alcazar 7-seat SUV is also witnessing good traction.

    While Hyundai does not have any new models planned for launch in the near future, its Casper micro-SUV could be launched early next year. Additionally, the brand is also readying an all-new MPV that could be a potential rival to the Ertiga.

    Tata Motors: (30,185 units / +101 percent)

    The homegrown carmaker registered significant YoY growth and doubled its July sales to 30,185 units over 15,012 units sold in July 2020. The company also recorded over 25 percent growth on a month-on-month basis with June 2021 sales pegged at 24,110 units.

    Tata Motors is seeing good demand for its latest models, including the Safari, Altroz and the Dark Edition limited variants. The Nexon duo also continues to woo compact SUV buyers both in the conventional and EV space.

    Tata Motors will launch the Tiago NRG in India tomorrow.

    Mahindra & Mahindra: (21,046 units / +91 percent)

    At 21,046 units,Mahindraposted a strong 91 percent growth over the 11,025 sold in July 2020. Month on month it posted a 24.43 percent growth over June 2021’s 16,913 units.

    While the company is witnessing heightened activity levels in terms of fresh enquiries, it is still critically impacted by the ongoing semiconductor shortage. This has resulted in longer waiting periods for some tech-heavy products like the XUV300 and higher variants of the newly-launched Bolero Neo.

    Mahindra is also gearing up to showcase the upcomingall-new XUV700.

    Kia India: (15,016 units / +76 percent)

    Kia, which has topped the 2021 FADA Dealer Satisfaction Study, sold 15,016 units, notching 76 percent YoY growth (July 2020: 8,502), albeit month-on-month growth is flat when compared to June 2021's 15,015 units. The KiaSonetcompact crossover, with 7,675 units, accounted for 50 percent of the sales, followed by theSeltos(6,983) and Carnival (358).

    Kia is gearing up to introduce an all-new MPV for India. This new model (Codename: KY) will see a market launch sometime in early 2022.

    Toyota Kirloskar Motor: (13,105 units / +143 percent)

    Toyota's domestic sales in July were pegged at 13,105 units, a significant 143 percent growth over July 2020's 5,386 units, although that month was amidst the height of the pandemic. Month on month growth is a good 49 percent over June 2021’s 8,798 units.

    Toyota attributes the higher numbers to “already encouraging” pending orders as well as significant surge in fresh demand. TheFortunerandInnova Crystacontinue to be the key growth drivers.

    Honda Cars India: (6,055 units / +12.48 percent)

    At 6,055 units, YoY growth for the Japanese carmaker was 12.48 percent over the 5,383 units sold in July last year. On a month-on-month basis,Hondarecorded 27 percent growth (June 2021: 4,767 units).

    Honda Cars India will introduce the mid-cycle update for the Amaze on August 17. Additionally, the City hybrid is also expected to launch later this year. The much-awaited three row SUV from Honda is being developed as well. Read more on that here.

    Nissan Motor India: (4,259 units / +443 percent)

    Nissan Indiasold 4,259 units last month to register a significant six-fold growth over 784 units sold in July 2020, albeit on a very low year-ago base. Month on month, this marked 21 percent growth over 3,503 units sold in June 2021. The new Nissan Magnite has been the key turnaround model for the company, driving demand and sales, due to its value-for-money positioning.

    MG Motor India: (4,225 units / +101 percent)

    The company sold 4,225 units last month to double sales over July 2020’s 2,105 units. MG registered an 18.74 percent growth on a month-on-month basis with June 2021 sales being pegged at 3,558 units.

    MG Motor Indiawill introduce the new Astor SUV, its fourth model for our market, by September. Additionally, new variant additions are planned for Hector, Hector Plus and Gloster as well, according to sources.

    Skoda Auto India: (3,080 units / +234 percent)

    Nothing like a new model to infuse freshness into a carmaker's portfolio. The recently launched Kushaq SUV has done just that forSkodawhich sold 3,080 units across the range, recording 234 percent YoY growth (July 2020: 922). On a month-on-month basis, the company has grown almost five times over the 734 units sold in June 2021. Skoda claims theKushaqhas received over 6,000 bookings within a month of launch.

    Growth Outlook: what does FADA say?

    With the market slightly tilted towards personal mobility, the passenger vehicle segment will likely continue its growth up until the festive season. Although the impact of the pandemic is somewhat wearing off, there’s still one major limiting factor that is hugely impacting sales - the global shortage of semiconductor chips.

    Vinkesh Gulati, president, Federation of Automobile Dealers Associations, said, “The key issue of demand-supply mismatch continues due to the global semiconductor shortage. If the production gets normalised, the segment would easily be able to tap up to 10 percent more volumes.” He added, "A good monsoon also augurs well to spur rural demand further, which could see positively impacting sales in the festive season."

    Also See:

    COVID-19 plays spoilsport, delays 2022 Auto Expo

    Carmakers announce price hikes from August 2021

    What do you think about this News
    Ask Autocar Anything about Car and Bike Buying and Maintenance Advices
    Need an expert opinion on your car and bike related queries?
    Ask Now
    Poll of the month

    What do you think of Ford's new CBU only India plan?

    CBU imports will be too expensive for most

     

    75%

    Finally! Some 'proper' all-American Fords

     

    25%

    Total Votes : 761
    Sign up for our newsletter

    Get all the latest updates from the automobile universe