Auto Sales Slip 5% YoY in September 2021; down 13.5% from September 2019 level – The New Indian Express
NEW DELHI: Despite a weak base in FY21, overall auto retail sales (vehicle registrations) in September 2021 fell more than 5% year-on-year to 12,96,257 units, said Thursday the Federation of Automobile Dealers Associations (FADA). This decrease is more pronounced at 13.5% compared to the month of September 2019 pre-Covid (14 98 585 units).
The year-on-year decline in September 2021 is largely attributed to the 11.5% drop in high-volume two-wheeler retail sales. In September 2021, two-wheeler registrations amounted to 9 14 621 units compared to 10 33 895 units in September 2020.
“The 2W category continues to be a spoiler because the entry-level segment has not yet experienced healthy growth. The performance of this segment is now becoming critical for the global 2W to get back on the road to recovery as dealer inventory stands at 30-35 days in anticipation of a good holiday season. The semiconductor shortage has also started to impact the 150+ cc segment, ”said Vinkesh Gulati, President of FADA.
In addition to two-wheelers, tractor sales fell 24% year-on-year to 52,896 units in September 2021. However, passenger vehicle (PV) sales, despite a massive semiconductor shortage crisis, have increased over 16% year-on-year last month to 2,333,308. units. Commercial vehicle sales rebounded and increased 47% to 58,820 units.
Gulati said, “In the first half of this fiscal year, as overall retail sales grew 35%, they were also down -29% from 2019, a pre-Covid year. In the long term, with the exception of tractors which increased by 19% and PV which almost reached pre-Covid levels, all the other segments were in red ”,
He added that as we enter the height of this year’s holiday season, the real semiconductor crisis continues to hamper sales of PV panels as vehicle inventory at dealerships eventually plummets to a low. record of 15 to 20 days during the current fiscal year. With high demand in this segment, long wait times continue to frustrate and keep enthusiastic buyers in a bind, Gulati said.