Amid festive cheer, Indian passenger vehicle sales rebound in September

The passenger vehicle sales in the Indian auto market nearly doubled in September to 307,389 units from a year ago, the Society of Indian Automobile Manufacturers (SIAM) said on Thursday. Vehicle production for the month also saw a rise to 88% to 372,126 units, the Indian auto industry lobby group said. The rebound in sales and production in the world's fourth-largest car market comes after the easing of the crippling semiconductor shortages.

Demand has also seen a jump thanks to the start of the festive season in the country, which typically starts around the month of October, and that is when many Indians make big-ticket purchases. "Recent increase in the prices of CNG fuel, higher repo rates and the Russia-Ukraine conflict are of concern and could impact the market in the coming months," SIAM President Vinod Aggarwal said.

During the period of July to September, the passenger vehicle sales rose 38.4% to 1,026,309 units. Sales of two-wheelers during this period rose to 12.9% to 1,735,199 units and 13% for the quarter. "Off-take of entry level two-wheelers and entry level passenger vehicles have been of concern especially as the rural demand has not picked up," said Rajesh Menon, director general of SIAM. However, monthly sales for mopeds fell nearly 23% to 47,613 units.

Maruti Suzuki continues to dominate the automobile industry and in September as well, the top four best-selling cars belonged to the stable of the country's largest carmaker. The top four lineup includes Maruti Suzuki Alto, Maruti Suzuki WagonR, Maruti Suzuki Baleno and Maruti Suzuki Brezza.

These were followed by Tata Nexon, Hyundai Creta, Maruti Suzuki Eeco, Tata Punch, Maruti Suzuki Swift and Hyundai Venue.