Positive consumer sentiments drive automobile dispatches in 2024: SIAM

Passenger vehicles grew by 4 percent in 2024 compared to 2023, with sales of around 43 lakh units

In a boost for the automobile sector, dispatches from companies to dealers jumped 12 percent in 2024 compared to 2023 on positive consumer sentiments that aided robust demand for two-wheelers, industry body Society of Indian Automobile Manufacturers (SIAM) said on January 14.

According to SIAM, total wholesales across categories increased to 2,54,98,763 units in 2024 against 2,28,39,130 units in 2023, a growth of 11.6 percent.

"2024 has been reasonably good for the auto industry. Positive consumer sentiments and the country's macroeconomic stability helped in propelling reasonable growth for the sector across vehicle segments," Society of Indian Automobile Manufacturers (SIAM) President Shailesh Chandra said in a statement.

Last year, the growth was primarily driven by the two-wheeler segment which grew by 14.5 percent in 2024 over a year ago, he added.

Dispatches of scooters, bikes and models rose by 14.5 per cent to 1,95,43,093 units in 2024 compared to 1,70,75,432 units a year ago, the statement said.

Scooter sales rose 20 per cent year-on-year to 66,75,231 units in 2023.

Motorcycle dispatches on the other hand witnessed a growth of 12 per cent year-on-year to 1,23,52,712 units in the previous year.

Chandra noted that passenger vehicles and three-wheelers posted their highest-ever sales in a calendar year.

Passenger vehicles grew by 4 percent in 2024 compared to 2023, with sales of around 43 lakh units, he noted.

Similarly, three-wheelers posted a growth of 7 per cent in 2024 with sales of 7.3 lakh units.

However, commercial vehicles posted a slight dip of 3 per cent in 2024 compared to the preceding year, posting sales of 9.5 lakh units, though signs of growth are visible in Q3 of 2024-25, Chandra said.

"The stable policy ecosystem of the Government of India in 2024, carrying on from the previous years, has helped the industry. As the new year commences with a positive sentiment being created through the Bharat Mobility Global Expo, this momentum would further propel growth in 2025," he added.

In December last year, passenger vehicle dispatches to dealers rose 10 per cent to 3,14,934 units against 2,86,390 units in December 2023.

Two-wheeler dispatches, however, witnessed a 9 percent decline at 11,05,565 units over 12,12,238 units in December 2023.

Three-wheeler dispatches rose to 52,733 units last month from 50,947 units in December 2023, SIAM said.

In the October-December quarter, passenger vehicles, commercial vehicles and three-wheelers posted their highest-ever sales of Q3, SIAM Director General Rajesh Menon said.

Passenger vehicles grew by 4.5 per cent in Q3 of 2024-25 with sales of 1.06 million units compared to the previous year, he stated.

Three-wheeler sales grew marginally in the third quarter of 2024-25, with sales of 1.89 lakh units while two-wheeler dispatches grew by 3 percent in the quarter, against the previous year, posting sales of 4.9 million units, Menon said.

Commercial vehicles grew by 1 percent in Q3 from the same period of last fiscal, with sales of 2.38 lakh units, he said.

With PTI inputs