Retail Sales of Vehicle Declined 5% in December

After two straight months of robust growth, retail sales of vehicles declined five per cent year-on-year in December.

Of the total sales, 11,33,138 of them were 2-Wheelers as against 12,75,894 2 in December 2021, registering a decrease of 11 percent. Except for 2 Wheelers, all the categories were in the green with 3-Wheeler, Passenger Vehicle (PV) Tractor and Commercial Vehicle (CV) growing by 42 percent, 8 percent, 5 percent, and 11 percent, respectively.

For the entire calendar year 2022, total vehicle retails grew by 15 per cent YoY, 17 per cent when compared to 2020 but fell by 10 per cent from the pre-covid year of 2019.

“The month of December went into a lull after 2 super months of October and November which witnessed adrenaline rush in the entire Auto Industry,” said FADA President Manish Raj Singhania.

Auto retail sales for December 2022 declined by 5 percent after two months of consistent growth, reports FADA. The two-wheeler sales fell by 11% last month, dragging down the overall auto sales in red.

Compared to the pre-covid month of December 2019, total auto sales were down by 12%. The passenger vehicle category during the period continued to gain new ground by clocking 34.31 lakh retails during the full year. This is by far, the highest retail passenger vehicle sales to date.

For CY2022, while total vehicle retails grew by 15% YoY and 17% compared to CY 2020 it failed to surpass CY19 retails, (a pre-covid year) and registered a fall of -10%. Coming to the tractor segment, it is the only other segment apart from PV which has gown well above CY 2021,20 and the pre-covid year of 2019. It has also registered a new high sale of 7.94 lakh units. 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, says