Maruti Suzuki India, Hyundai and Tata Motors, the leading automakers in India, reported a significant increase in dispatches to dealers in April, as the demand for sports utility vehicles (SUVs) remained robust. Despite the challenges posed by the COVID-19 pandemic and supply chain disruptions, the car makers were able to meet the strong demand from customers.
Maruti Suzuki India, the largest car maker in the country, reported a 13% increase in its domestic passenger vehicle wholesales to 1,37,320 units in April, up from 1,21,995 units in the same month last year. The sales of mini cars, comprising Alto and S-Presso, fell 18% to 14,110 units compared with 17,137 units a year ago.
Hyundai Motor India, the second-largest car maker in the country, reported a 10.3% increase in domestic sales to 52,600 units in April, up from 47,430 units in the same month last year. The company’s strong sales were driven by the Creta and Venue SUVs, which recorded a growth of 38% and 67%, respectively.
Tata Motors, the third-largest car maker in the country, reported a 41% increase in domestic sales to 39,530 units in April, up from 28,117 units in the same month last year. The company’s strong sales were driven by the Harrier and Nexon SUVs, which recorded a growth of 162% and 240%, respectively.
The robust demand for SUVs can be attributed to several factors. Firstly, SUVs offer better visibility, a commanding driving position and a sense of safety and security to the driver. Secondly, the increasing popularity of SUVs is also driven by changing consumer preferences, which are shifting towards more spacious and comfortable vehicles. Lastly, the launch of new models with advanced features and improved design has also contributed to the growing demand for SUVs.
The car makers are optimistic about the future and are working towards increasing production capacity to meet the growing demand from customers. They are also focusing on enhancing their product portfolio by launching new models and variants to cater to different segments of the market.
However, the car makers are also facing several challenges, including the rising cost of raw materials and the shortage of semiconductor chips, which are essential components for the production of cars. The shortage of chips has resulted in production cuts and delayed deliveries of cars, which has impacted the overall sales of the industry.