Dec’22 Continued To Fall After Two Good Months: FADA
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, 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 per cent. While all other categories were in green, it was the 2W segment which once again dragged total sales by falling -11 per cent. 3W, PV, Tractor and CV during the same period showed growth of 42 per cent, 8 per cent, 5 per cent and 11 per cent."
Compared to the pre-covid month of December’19, total retails were down by -12 per cent. Here also, the 2W segment pulled down total sales as the same fell by -21 per cent. All the other categories like 3W, PV, Tractor and CV showed growth of 4 per cent, 21 per cent, 27 per cent and 9 per cent respectively.
For CY2022, while total vehicle retails grew by 15 per cent YoY and 17 per cent compared to CY’20 it failed to surpass CY19 retails, (a pre-covid year) and registered a fall of -10 per cent. 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 which PV has done till date.
CATEGORY | DEC'22 | DEC'21 | DEC'20 | YoY % (2021) | YoY % (2020) | DEC'19 | YoY % (2019) |
2W | 11,33,138 | 12,75,894 | 15,97,554 | -11.19% | -29.07% | 14,25,994 | -20.54% |
3W | 63,655 | 44,983 | 28,751 | 41.51% | 121.40% | 61,077 | 4.22% |
PV | 2,80,016 | 2,58,921 | 2,94,265 | 8.15% | -4.84% | 2,30,939 | 21.25% |
TRAC | 78,563 | 74,653 | 83,233 | 5.24% | -5.61% | 61,803 | 27.12% |
CV | 66,945 | 60,491 | 53,656 | 10.67% | 24.77% | 61,370 | 9.08% |
Total | 16,22,317 | 17,14,942 | 20,57,459 | -5.40% | -21.15% | 18,41,183 | -11.89% |
The 2W segment once again failed to impress as retail sales during Dec’22 continued to fall after two good months. 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 50 per cent mark.
The PV segment has continued to show remarkable consistency in growth during the entire year. While supply woes has decreased, better product spread and ever highest consumer offers have kept consumer interest on.
The CV segment has continued to grow during entire CY2022 and is now almost at part with CY2019 retails. With uptick in demand in LCV, HCV, Buses and Construction equipment’s, government’s continued push for infrastructure development has kept this segment going.
The Tractor segment is the only other segment apart from PV which has gown well above CY2021,20 and pre-covid year of 2019. It has also registered a new life time high sales of 7.94L. This feat was possible due to consistently good monsoon, improved cashflow with farmers, better MSP of crops and government’s focus on better procurements. Apart from this, timely sowing of rabi crop also helped to continue this momentum. Festive season sales which was normal after 3 years also played its part in this strong momentum.
