Auto Sales Grew 4.84% On-year In June; Pv Sales Up 2.45%: Fada

June recorded a notable 4.84 per cent year-on-year maturation crossed nan automotive sector, pinch each segments showing affirmative performance. Notably, two-wheelers (2W) knowledgeable a 4.73 per cent increase, while rider vehicles (PV) and commercialized vehicles (CV) marked 2.45 per cent and 6.6 per cent growth, respectively.

However, month-on-month figures show a different story, showed Federation of Automobile Dealers Associations (FADA) data. Two-wheeler income dipped by 12.48 per cent, mostly owed to financing constraints and version shortages, which tempered nan benefits from show request and matrimony play sales. The early monsoon and rising electrical conveyance take further influenced purchasing behaviour.

“Several dealers cited compulsory billing and forced banal lifts—often via auto-debit wholesales – starring to mandated precocious days of inventory aligned pinch festival- play targets. Overall, June demonstrated a resilient two-wheeler capacity amid mixed marketplace signals,” said FADA President CS Vigneshwar.

Passenger conveyance unit income saw a 1.49 per cent month-on-month decline, yet managed a 2.45 per cent year-on-year rise. Heavy rains and liquidity constraints affected footfall and conversion rates. However, immoderate support came from accrued incentives and caller booking offers. Inventory stands astatine 55 days, said FADA.

Commercial conveyance income fell 2.97 per cent month-on-month, but recorded a robust 6.6 per cent year-on-year description . Early deliveries boosted volumes earlier monsoon slowdowns and liquidity issues reduced income inquiries. New taxation and compulsory air-conditioned cabins person accrued ownership costs.

Overall, June highlights a resilient automotive market, navigating economical pressures and changing marketplace signals, while facing some maturation opportunities and challenges.

NEAR-TERM OUTLOOK

Above-average monsoon rains forecasted to transcend 106% of nan long-period mean (LPA) successful July are anticipated to heighten agrarian demand, benefiting nan agriculture assemblage and two-wheeler income successful agrarian areas. However, these conditions whitethorn besides consequence successful logistical complexities.

Increase successful early Kharif sowing and authorities infrastructure projects are expected to boost two-wheeler and CV income but geopolitical tensions and imaginable repercussions from US tariff measures could negatively effect proviso chains and user sentiment, said FADA.

Dealer sentiment leans towards a slowdown, pinch 42.8% predicting level maturation and 26.1% expecting a decline. Only 31.1% forecast growth, and booking-pipeline traction remains uneven.

Passenger vehicles look high-base effects and constricted new-model launches, but show readying and inducement schemes connection immoderate support. Commercial vehicles are contending pinch higher ownership costs, contempt extended bid pipelines providing relief.

FADA remains cautiously optimistic, leveraging agrarian request drivers and authorities superior expenditure while navigating monsoon-related disruptions and liquidity pressures, it said.

Published on: Jul 7, 2025 10:27 AM IST