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Indian vehicle sales up 7.8% in April 2017

Sales in April 2017 were up 7.8% y/y to 319,092 units versus 295,895 units in April 2016.
PVs (passenger vehicle, UV and van) sales were up 14.7% to 277,602 units. CVs (M&HCVs and LCVs) sales were down 22.9% to 41,490 units.
By vehicle type, passenger vehicle sales were up 17.4% to 190,788 units versus 162,566 units in the year previous. Utility vehicle (UVs) sales were up 13.7% to 70,691 units. Vans sales were down 6.9% to 16,123 units.
Medium and heavy commercial vehicle (M&HCV) sales were down 54.9% to 10,602 units. Light commercial vehicle (LCVs) sales were up 1.9% to 30,888 units.
Among automakers, Maruti-Suzuki was up 23.4% and Hyundai was up 5.7%. Tata Motors was down 19.0% and Mahindra sales was down 3.4% in April 2017.
Passenger vehicle sales were start improving in April 2017 due to improvement in consumer sentiments and currency situation. Passenger vehicle sales are expected to grow in coming months due to softening of interest rates, revision in fuel prices, GST implementation and the Union Budget's focus on rural areas.
Sales of commercial vehicles were decreased due to pre-buying in March on account of BS-IV implementation. It is expected to grow in coming months due to improved consumer sentiments, GST implementation and waning effect of demonetization.

(Based on data released by SIAM on May 9, 2017)

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