While the landscape of India's automobile market is being reshaped by rising affluence and a burgeoning middle class, those looking to indulge in the luxury of a high-end car face a new challenge: a very long waiting period. For carmakers, that is good news in a sense, as they are assured of a steady stream of buyers and no inventory pile-up.
While the semiconductor crisis, which had impeded deliveries across the automotive industry, is showing signs of easing, demand for certain models remains persistently high, leading to a prolonged wait. In particular, those looking to buy a Utility Vehicle (UV) face an extended waiting period for some coveted models.
Maruti Suzuki, Hyundai Motor India Limited (HMIL), Mahindra and Mahindra (M&M), Tata Motors, Toyota Kirloskar Motor (TKM), KIA India, and Mercedes-Benz India are among the auto companies grappling with this surge in demand.
Maruti Suzuki, the country's largest carmaker, has a months-long waiting list for popular models such as the Dzire CNG, Tour, Ertiga, Brezza, and Grand Vitara. Other major players are in a similar situation.
Hyundai has acknowledged having an average waiting period of four to six weeks across its models in India, with the Venue and Creta SUVs having wait times ranging from six to 18 weeks.
M&M, whose customers faced a two-year wait for certain SUVs until last year, has managed to reduce its waiting period to a more manageable 1-3 months for models such as the Thar, Scorpio-N, and XUV 7OO. However, the upcoming XUV 3XO is already anticipated to have a significant waiting period.
Tata Motors, which has generally been offering products off the shelf, has a waiting period of 45 days for its newly launched Nexon, hinting at sustained interest for the vehicle.
Toyota Kirloskar is enjoying phenomenal demand for its Hyryder SUV and Innova Hycross UVs, with waiting periods stretching from several months to over a year, underscoring the challenge of meeting customer expectations amid soaring demand.
Toyota Innova Hycross GX variant (only petrol) boasts an 8-10 month waiting time for the 7/8 seater model, while the VX Hybrid variant has an even longer 12-15 month wait. For the Toyota Hyryder SUV, the base version with manual transmission has a wait time ranging from four weeks to 15 months.
KIA India has a relatively shorter waiting period of two to four weeks for its Seltos and Sonet SUVs, indicating a balance between demand and production capacity.
Even luxury car manufacturer Mercedes-Benz India hasn't been immune to this trend, with certain models having a long wait period. While the GLA 220d 4MATIC has a two to three-week wait, the top-end AMG G 63 SUV will keep buyers seeking the allure of luxury waiting for more than a year. The waiting period for 'Made in India' cars has marginally decreased due to improved supply and production, but high-demand CBUs (completely built units) face wait times of over a year due to global demand and limited availability, a company spokesperson told Moneycontrol.
Commenting on the shift in the market, Puneet Gupta, Director of auto research firm S&P Global Mobility, said, "The rising aspiration to own the best, coupled with a tectonic shift among consumers and easy availability of finance, is making demand shift toward higher variants. "Slowly, under the PLI scheme, we will see companies making electronic parts, which will help in countering supply shortages,” he added.
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