The Federation of Automobile Dealers Associations (FADA) has launched automobile retail information for the month of February 2022. Last month, the cumulative new automobile retail gross sales stood at 13,74,516 models, a month-on-month decline of 4.5 per cent in comparison with 14,39,747 automobiles bought in January 2022. In comparability, a 12 months in the past in February 2021, automobile retails stood at 15,13,894 models, which ends up in a year-on-year decline of over 9 per cent in February 2022. FADA President, Vinkesh Gulati stated, “Indian Auto Industry during February continues to remain in red as total retails were down by 9.21 per cent YoY and 20.65 per cent when compared to February 2020, a regular pre-covid month.”
In February 2022, the passenger automobile section noticed whole retail gross sales of two,38,096 models. Compared to the two,58,337 automobiles bought throughout the identical month in 2021, the section noticed a YoY decline of practically 8 per cent. Talking concerning the PV section, Gulati stated, “Even though the PV segment saw some launches and slight respite in supply due to better production, it was not enough to meet customer demand. Vehicle waiting period thus remains similar to what it was in last few months.” The business is at the moment going through provide constraints because of the world scarcity for semiconductor chips.
The two-wheeler section, then again, noticed the next YoY decline of practically 11 per cent in retail gross sales. In February 2022, whole gross sales from the section stood at 9,83,358 models, in comparison with 11,00,754 automobiles bought throughout the identical month in 2021. Gulati stated, “The two-wheeler segment is showing no signs of recovery as Bharat continues to play spoil-sport. With cost of acquisition continuously going north, inquiry level remained weak. As corporates and educational institutions continued operating from home, urban demand also took a hit.”
However, issues had been totally different for the industrial automobile section. The CV house, which incorporates gentle, medium and heavy industrial automobiles amongst others, noticed whole retail gross sales of 63,797 models in February 2022. Compared to 59,395 models bought in February 2021, the section noticed an increase of practically 8 per cent in retail gross sales. The heavy industrial automobile section noticed YoY development of 21 per cent at 19,822 models in February 2022. Three-wheeler gross sales additionally grew by practically 17 per cent at 38,961 models. In comparability, the section bought 33,404 models in February 2021. However, tractor gross sales noticed an enormous dip of 19 per cent in retail gross sales, at 50,304 models. Last 12 months in February, the section’s whole retails stood at 62,004 models.
In its outlook for the close to future, FADA stated that the continuing unrest between Russia and Ukraine will as soon as once more have ripple results on the worldwide automotive provide chain. The apex physique for auto sellers’ affiliation stated, “Russia is one of the largest producers of rare-earth metals especially Palladium, which is an essential metal for semi-conductors. Ukraine on the other hand is one of the biggest producers and exporter of Neon Gas, which is used in the manufacturing of semiconductors.” FADA fears that the continuing struggle will as soon as once more result in a scarcity of semiconductors, which is able to create extra provide aspect points for passenger automobiles.