Sentiments revive: Auto sales jump in May

The newly-launched City, with sales of 7,218 units, helped grow Honda Cars’ volumes by 18 per cent.

By: ENS Economic Bureau | New Delhi | Published:June 3, 2014 1:21 am

The revival of sentiments with the formation of a stable government at the Centre has helped push the domestic automobile industry on the growth path in May. Eight of the country’s leading passenger vehicle makers reported a growth of 7.35 per cent during the month as compared to 1,77,168 units sold in May 2013.

Sales of passenger vehicles in the domestic market had declined by 9.5 per cent to 1,88,541 units in April this year, according to Society of Indian Automobile Manufacturers (Siam) data.

Among the gainers was Maruti Suzuki India Ltd, which registered a growth of 16.4 per cent in May. The country’s largest car maker had registered a decline of 12.6 per cent in sales in April this year. The company sold 90,560 vehicles last month as against 77,821 units sold in the corresponding period last year.

While sales of small cars — Alto and WagonR — dropped by 7.5 per cent, sales of Swift, Ritz, Celerio increased by 53.9 per cent, sedan DZire by 9.8 per cent (18,953 units), utility vehicles Ertiga and Grand Vitara by 22 per cent (5,253 units) and vans Eeco and Omni by 50.2 per cent (to 10,771 units).

Meanwhile, new launches helped boost numbers for Hyundai Motor India Limited, Honda Cars India, Ford and Toyota Kirloskar.

Sales of Hyundai went up by 12.8 per cent to 36,205 units in the domestic market. “The phenomenal success of Xcent, Grand and Santa Fe increased volumes creating positive momentum. We foresee to maintain this positive trend by strengthening our product portfolio and improving channel efficiencies,” Hyundai said in a statement quoting senior vice-president (sales and marketing), Rakesh Srivastava.

The newly-launched City, with sales of 7,218 units, helped grow Honda Cars’ volumes by 18 per cent. The sedan contributed as much as 54 per cent of the company’s overall passenger vehicle sales in the domestic market.

For Ford, sales increased by 51.2 per cent to 6,053 units. Sales of Toyota Kirloskar increased by 18 per cent to 11,833, with new models Etios Cross and Corolla Altis bringing in about 1,100 units of sales.

Tata Motors and Mahindra & Mahindra (M&M), with no new vehicles in their portfolio, continued to face declining sales. While sales of Tata Motors dipped by 17 per cent to 9,230 units, that of M&M decreased by around 19 per cent to 18,085 units.

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