Auto Retail Sales Grow 37 pc In April On Low COVID-Hit Base Effect

Automobile retail sales in India increased by 37 per cent in April on a low base of COVID-hit April last year, automobile dealers’ body FADA said on Thursday.

Total sales across categories rose to 16,27,975 units in April, as compared to 11,87,771 units in the year-ago period.

On a year-on-year basis, all vehicle categories including passenger vehicles and two-wheelers were up as compared with April last year.

Passenger vehicles registrations stood at 2,64,342 units last month, up 25 per cent from 2,10,682 units in April last year.

Similarly, two-wheeler sales were at 11,94,520 units, up 38 per cent from the year-ago period.

Commercial vehicle retails stood at 78,398 units in April, up 52 per cent from 51,515 units in April 2021.

Three-wheeler sales were up 96 per cent, while tractor registrations were up 26 per cent as compared with April last year.

“While Y-o-Y comparison with April 2021 shows all categories in green with high growth rate, it is important to note that both April 2021 and April 2020 were affected by nation-wide lockdown due to phase one and two of the COVID wave, which witnessed no-to-negligible business,” Federation of Automobile Dealers Association (FADA) President Vinkesh Gulati noted.

Hence a better comparison will be with April 2019, which was a normal pre-COVID month, he added.

“April 2022 when compared with April 2019, reveals that we are still not out of the woods as overall retails were down by 6 per cent,” Gulati stated.

He noted that with the Russia–Ukraine war continuing and China under lockdown, the auto industry continues to witness supply crunch with semiconductor shortage and high metal prices and container shortage impacting the sector.

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