New Delhi, 3 October (IANS). The Indian automobile industry remains positive and optimistic in the second half of FY 26 and remains conscious of risks and challenges. According to a report on Friday, GST rate cut, income tax relief and festive season are expected to increase consumer demand.
Axis Securities said the September sales figures saw mixed trends, where there was a good increase in sales of two-wheelers, three-wheelers, commercial vehicles and tractors, while the sales of passenger vehicles declined annually.
Sales of domestic two -wheelers in the two -wheeler/three -wheeler segment rose 6 percent on an annual basis and 18 percent on a monthly basis, with Royal Enfield 43 percent on an annual basis, Suzuki motorcycle recorded an increase of 37 percent and TVS Motor 12 percent.
During this period, exports were also strong, with 17 percent increase on an annual basis and 2 percent on monthly basis. Bajaj Auto, Hero MotoCorp, RE and TVS had significant participation in it.
The report said that the sales of three -wheelers increased by 12 percent on an annual basis and 6 percent on a monthly basis.
The wholesale sales in the passenger vehicle segment fell 5 percent on an annual basis, although sales on monthly basis increased by 16 percent, which caused the outstanding stock sales and GST cuts.
JSW MG Motor and Tata Motors performed better with 47 percent and 45 percent annual growth respectively, followed by Toyota Kirloskar and M&M. Maruti Suzuki’s sales fell 6 percent on an annual basis, while Hyundai’s sales did not change.
PV sales of company-wise Tata Motors increased by 45 percent on an annual basis, while M&M’s PV division increased by 10 percent on an annual basis. Maruti Suzuki’s domestic sales fell by 6 percent on an annual basis, although the performance on monthly basis improved 2 percent.
Good recovery was observed in the tractor industry, the volume rose 50 percent on an annual basis and 124 percent on a monthly basis. Good monsoon and good water level in reservoirs should be helpful for this.
M&M’s tractor sales increased by 50 percent on an annual basis and 148 percent on monthly basis, while Escorts Kubota sales increased by 49 percent on an annual basis and 125 percent on monthly basis. The sales of VST Tillars and tractors increased by 42 percent on an annual basis.
Domestic CV sales in commercial vehicles rose 11 percent on an annual basis and 19 percent on a monthly basis. Tata Motors and M&M recorded mid-dual digit growth, while Ashok Leyland registered a 9 percent increase on an annual basis. Eicher Motors’ VECV division remained flat on an annual basis but increased by 6 percent on a monthly basis. Maruti Suzuki’s CV sales fell 7 percent on an annual basis.
Axis Security said that the brokerage remains optimistic for the half -year -26 half and remains conscious of risks. Brokerage hopes that festive demand, GST rate cuts, improvement in rural areas and new model launch will lead to stable demand in single digit and commercial vehicles in passenger vehicles.
The domestic brokerage firm said that tractor sales are also expected to be good due to good kharif crop and better conditions of reservoirs.
-IANS
SKT/
