India Dec vehicle sales rise by 5.8%, production up by 9%

SINGAPORE (ICIS)–India’s total vehicle sales in December rose by 5.8% year on year to 1.91m units, industry data showed on Thursday.

Two-wheelers accounted for more than 80% of both sales and production for the month, according to data from the Society of Indian Automobile Manufacturers (SIAM).

Overall vehicle exports rose by 14.6% year on year in December.

Production
Segment	2019	2020	% change
Passenger Vehicles	254,359	315,838	24.2
Three Wheelers	93,654	62,152	-33.6
Two Wheelers	1,401,932	1,529,242	9.1
Quadricycle	402	579	44.0
Total	1,750,347	1,907,811	9.0
Sales
Segment	2019	2020	% change
Passenger Vehicles	222,728	252,998	13.6
Three Wheelers	53,795	22,126	-58.9
Two Wheelers	1,050,038	1,127,917	7.4
Quadricycle	33	0
Total	1,326,594	1,403,041	5.8
Exports
Segment	2019	2020	% change
Passenger Vehicles	65,949	57,050	-13.5
Three Wheelers	40,944	38,613	-5.7
Two Wheelers	297,304	367,521	23.6
Quadricycle	360	618	71.7
Total	404,557	463,802	14.6

Source: SIAM

“The market situation is dynamic and uncertain. Industry is facing a shortage of semiconductors, steel and shipping containers,” said Rajesh Menon, the director general of SIAM.

“There is also an impact of price increase of steel, logistics and other raw materials,” he said.

The automotive industry is a major global consumer of petrochemicals, which account for more than a third of the raw material costs of an average vehicle.