India`s January wholesale passenger vehicle volume up on consumer sentiment - SIAM
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
https://t.me/InvestmentGuruIndiacom
Download Telegram App before Joining the Channel
India's wholesale passenger vehicles sales volume grew 17.2% in January on the back of strong demand for utility vehicles (UV) and better consumer sentiment, the Society of Indian Automobile Manufacturers (SIAM) said on Monday.
Wholesale passenger vehicle volumes rose to 298,093 units – a record-high for January – from 254,287 units a year ago, said SIAM, which records sales to dealers.
Earlier this month, the Federation of Automobile Dealers Associations (FADA), which publishes retail sales data, said passenger vehicle sales grew 22% in January, adding that the reopening of factories in China would help improve supply.
Auto sales numbers are keenly watched as they are one of the key indicators used to assess private consumption, carrying more than 50% weightage in calculating the country's economic growth.
Sales of the now-popular and mostly pricier UVs grew around 28% and continued to outnumber that of passenger cars – which include entry-level cars and sedans – in January, according to SIAM data.
"Better consumer sentiment is driving demand for passenger vehicles," SIAM President Vinod Aggarwal said.
Two-wheeler sales, an indicator of the financial health of India's lower- to middle-income households, were up only 3.8% for the month, compared to a 6.3% rise in the October-December festive period.
"The rate of growth of two-wheelers in the recent year has not kept pace with the growth in the other segments," Aggarwal said.
