The Indian auto industry witnessed a significant surge in production and sales in February 2024, according to the latest data released by the Society of Indian Automobile Manufacturers (SIAM). With total production reaching 2,294,411 units and substantial increases in domestic sales across passenger vehicles, three-wheelers, and two-wheelers, the sector is demonstrating a strong recovery and growth momentum. This report delves into the detailed performance metrics and the factors driving this remarkable growth in India’s auto sector.
The February 2024 shared to Media from the Society of Indian Automobile Manufacturers (SIAM) on the performance of the auto industry in February 2024 highlights a significant increase in production and sales across various vehicle segments. The total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles reached 2,294,411 units. This robust production level reflects the industry’s recovery and growth momentum, supported by favorable economic conditions and consumer sentiment. Notably, the data excludes luxury brands such as BMW, Mercedes, and JLR, indicating that the actual figures could be higher.
Domestic sales for February 2024 showed impressive growth across all segments. Passenger vehicle sales stood at 370,786 units, representing a 10.8% increase compared to February 2023. The three-wheeler segment saw moderate growth with 54,584 units sold, an 8.3% increase from the previous year. Two-wheelers, which constitute a significant portion of the market, recorded a substantial 34.6% growth, with sales reaching 1,520,761 units. This surge in sales underscores the increasing demand for mobility solutions in India, driven by economic growth and improved consumer confidence.
SIAM‘s leadership attributes this growth to several factors, including the overall robust GDP growth in Q3 of the fiscal year 2023-24 and the positive impact of the Bharat Mobility Global Expo 2024. The expo, graced by the Honorable Prime Minister, created a strong positive sentiment among consumers, further boosting the industry’s performance. According to Vinod Aggarwal, President of SIAM, the industry anticipates continued growth momentum, supported by favorable economic indicators and sustained consumer interest in mobility solutions.
The detailed sales data reveals specific trends within the segments. For instance, the scooter/scooterette sub-segment of two-wheelers saw a notable increase from 391,054 units in February 2023 to 515,340 units in February 2024. Motorcycles/step-throughs also witnessed a significant rise in sales, indicating a shift in consumer preferences towards these vehicle types. The data also highlights the growth in three-wheeler passenger carriers and goods carriers, reflecting the diverse mobility needs of the Indian market. Despite the de-growth in commercial vehicles, the overall positive performance across other segments paints a promising picture for the auto industry in 2024.
