Home Business Concerns arise due to inflation and poor monsoon despite February’s increase in vehicle sales

Concerns arise due to inflation and poor monsoon despite February’s increase in vehicle sales

by Trend News
2 minutes read
Concerns arise due to inflation and poor monsoon despite February's increase in vehicle sales.

FADA Auto Sales: Auto retail sales have registered a good growth in February, and this growth has been seen in all categories. Despite this, due to the slow recovery in 2-wheeler demand

Total vehicle sales are still below the pre-covid level.

FADA’s February auto sales figures

According to the data released by the Federation of Automobile Dealers Association (FADA), total vehicle sales in the month increased by 16% year-on-year to 17.75 lakh units. Compared to the pre-covid month of February 2020, which was 8% less.

FADA President Manish Raj Singhania said – ‘The 2-wheeler category has seen an annual growth of 15%, but was 14% less than the pre-covid month of February 2020. The sales have picked up due to the wedding season as well as the change in OBD norms that will come into effect from April. Overall, high inflation and poor sentiment have kept customers away.

Passenger vehicle sales grew by 11% to 2.87 lakh units driven by new launches, spare parts supplies and a healthy order book. Commercial vehicle sales also grew by 17% to 79,027 units in February, but fell by 10% compared to pre-Covid sales.

Car sales in February

  • Passenger vehicle sales up 11% at 2,87,182 units
  • 2-wheeler sales up 14.8% to 12.67 lakh units
  • Commercial vehicle sales up 17.2% to 79,027 units
  • Tractor sales up 14% to 68,988 units
  • 3-wheeler sales up 81.5% to 72,994 units

Inflation, worry of bad monsoon

FADA expects good sales in March due to availability of vehicles, festivals like Holi and discounts on vehicles, as this month is the last month before the new emission norms kick in. FADA, however, has also mentioned that the fall in private consumption, inflation and weak monsoon due to El-Nino could be risk factors for the industry.

You may also like


Stay up to date on the latest trending news stories with our comprehensive coverage of current events, politics, tech, sports, entertainment, business, and more.



Contact us: [email protected]

Copyright © 2023 Trend News – All Right Reserved

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More