New Delhi: The Indian passenger vehicle (PV) market started the new year with a bang, as domestic sales surged by 13.9 percent to 394,571 units in January 2024, compared to 346,529 units in the same month last year. This was the highest monthly sales figure ever recorded by the industry, according to industry analysts.
The strong performance was driven by several factors, such as record SUV sales, exceptional response to new launches, rising production levels, and robust economic growth. The demand for SUVs was especially high, as they accounted for 42 percent of the total PV sales in January 2024, up from 36 percent in January 2023.
Among the major PV manufacturers, Maruti Suzuki India Limited (MSIL) maintained its market leadership with a 13 percent growth in domestic sales to 1,70,214 units in January 2024, as against 1,51,367 units in the same month last year. Its total PV sales, including exports, stood at 1,72,433 units, growing by 12.8 percent over 1,52,840 units in January 2023.
MSIL’s Senior Executive Director, Shashank Srivastava, attributed the high sales to inventory replenishment, as the stock levels in the network had sharply fallen due to the festive season demand in the previous quarter. He also said that the supplies from manufacturers were better, leading to the elevated wholesale numbers.
Hyundai Motor India, the second-largest PV maker in the country, also registered a 14 percent increase in its domestic sales to 57,115 units in January 2024, from 50,106 units in the same month last year. Its total sales, including exports, grew by 15.6 percent to 60,105 units, as against 51,963 units in January 2023.
The company claimed that this strong growth was fuelled by an “overwhelming customer response” to the newly launched Hyundai Creta, which has already garnered close to 50,000 bookings within a month since its opening, as revealed by Hyundai Motor India COO Tarun Garg. The Creta is a compact SUV that competes with the likes of Kia Seltos, MG Hector, and Tata Harrier in the segment.
Tata Motors, the third-largest PV maker in the country, also witnessed a 12 percent growth in its total PV domestic sales, including EVs, to 53,633 units in January 2024, as compared to 47,987 units in the same month last year. Its total sales, including exports, rose by 11.5 percent to 54,218 units, as against 48,649 units in January 2023.
The company attributed its growth to the strong performance of its SUV portfolio, which includes the Nexon, Harrier, and the newly launched Safari. The Safari is a seven-seater SUV that is based on the Harrier platform and shares its engine and transmission options. The company also reported a strong growth in its EV sales, which crossed the 10,000 units mark in January 2024.
Mahindra & Mahindra Ltd. (M&M Ltd.), the fourth-largest PV maker in the country, also reported a 31 percent growth in its domestic sales in the Utility Vehicles segment to 43,068 units in January 2024, as against 32,872 units in the same month last year. Its total sales, including exports, grew by 28.6 percent to 44,778 units, as against 34,839 units in January 2023.
The company said that it began the year with the launch of 2024 XUV700, which is a premium SUV that offers a host of new features, such as a panoramic sunroof, a 10.25-inch touchscreen infotainment system, a 12.3-inch digital instrument cluster, and a 360-degree camera. The XUV700 is expected to compete with the likes of Hyundai Alcazar, MG Hector Plus, and Tata Safari in the segment.
Toyota Kirloskar Motor, the fifth-largest PV maker in the country, reported its highest-ever monthly wholesales in January with a dispatch of 24,609 units, an increase of 92 percent over the same month last year. The company sold 23,197 units in the domestic market, growing by 92.4 percent over 12,061 units in January 2023.
The company said that its MPV and SUV offerings continue to be its greatest strength, with major contributions from the Innova Hycross, Urban Cruiser Hyryder, Innova Crysta, Fortuner, and Legender. The Innova Hycross is a hybrid version of the popular Innova MPV, while the Urban Cruiser Hyryder is a compact SUV that is based on the Maruti Suzuki Vitara Brezza. The Fortuner and the Legender are premium SUVs that were recently launched with new features and design elements.
The following table summarizes the domestic sales figures of the top five PV makers in India in January 2024 and their year-on-year growth rates:
| Manufacturer | Domestic Sales (Units) | Year-on-Year Growth (%) |
|---|---|---|
| MSIL | 1,70,214 | 13 |
| Hyundai | 57,115 | 14 |
| Tata Motors | 53,633 | 12 |
| M&M Ltd. | 43,068 | 31 |
| Toyota | 23,197 | 92.4 |
