India’s car market witnessed sluggish growth in June 2024, with total domestic passenger vehicle sales reaching 340,784 units, a modest 3.6% increase compared to June 2023. This muted performance can be attributed to a lack of fresh demand and a high sales base from the previous year.
Brand performance
Maruti Suzuki: The country’s largest carmaker, Maruti Suzuki, reported a 3.1% YoY rise in domestic PV sales, reaching 137,160 units. However, the mini-segment, including the Alto and S-Presso, saw a decline in sales. Notably, Maruti’s exports witnessed a strong 57% YoY uptick.
Tata Motors: Tata Motors faced a setback, with total domestic PV sales (including EVs) dipping by 8% YoY to 43,524 units. This marks the third consecutive month of declining EV sales for Tata. However, the company’s commercial vehicle (CV) segment showed positive results for June and year-to-date (YTD) sales.
Mahindra & Mahindra: M&M achieved a healthy 23% growth in SUV sales, selling 40,022 units domestically in June. Their overall volume, including SUVs and CVs, rose 11% YoY.
Toyota: Toyota Kirloskar Motor (TKM) emerged as the biggest gainer with a stellar 41% YoY surge in domestic sales, reaching 25,752 units and achieving its highest monthly sales ever. This growth comes despite nearly a third of their products being rebadged Maruti cars.
Honda: Honda faced a 5% decline in domestic sales, selling 4,804 units in June compared to 5,080 units in the same month last year.
Kia: Kia India recorded positive growth of 9.8% YoY, selling 21,300 units in June. The new Kia Sonet remained their bestseller, accounting for almost half of their sales.
Audi: Audi reported a 6% YoY decline in sales for the April-June 2024 quarter, despite a strong 37% quarter-on-quarter growth. The company cited supply constraints as the primary reason for the decline.
MG Motors: MG Motors witnessed a 9% drop in sales compared to June 2023, selling 4,644 units. However, EVs contributed significantly, accounting for 40% of their total sales. Their ZS EV achieved its highest-ever monthly sales in June.
Hyundai India: Hyundai India (HMIL) saw a year-over-year sales increase in June 2024, with total sales hitting 64,803 units. Domestic sales remained strong at 50,103 units, while exports contributed 14,700 units.
Looking Ahead
The Indian car market’s slow growth in June 2024 reflects a cautious consumer sentiment. While some manufacturers like Toyota and Kia displayed strong performances, others faced challenges. The coming months will be crucial to observe if the market picks up pace and how manufacturers navigate ongoing supply chain issues.