Auto sales jump 31%

Automobile sales in India grew by 31.42 per cent during June, benefiting from favourable macroeconomic conditions and new model launches across categories, including cars, two-wheelers and commercial vehicles.

According to the Society of Indian Automobile Manufacturers (Siam), total sales for all categories stood at 12,05,990 units against 9,17,645 units in the year-ago month, up 31.42 per cent.

Speaking to reporters, Siam president, Mr Pawan Goenka said the industry had benefited from a good overall macroeconomic environment in the first three months of the fiscal.

“Factors which we feared that will hamper growth didn't happen. Interest rates were favourable, and even when commodity prices were rising companies did not pass it on to consumers,” he said, adding the good economic growth had also had positive impact on consumer confidence.
Besides, there were eight new models and 11 facelifts during the first quarter of the fiscal that helped boost sales in June.

Siam said the domestic car sales stood at 1,41,184 units against 1,07,948 units in the same month last year, up 30.79 per cent.

Car market leader Maruti Suzuki's domestic sales grew by 12.61 per cent to 61,589 units in June, while rival Hyundai Motor India also registered 18.92 per cent rise at 27,366 units. Tata Motors' sales jumped 76.30 per cent to 24,209 units during the month.

Total two-wheeler sales in June stood at 9,33,101 units, up 31.99 per cent over 7,06,934 units in June 2009.

Motorcycle sales in India during June also went up by 29.98 per cent to 7,15,98 units from 5,50,830 units in the year-ago period.

The country's largest motorcycle maker Hero Honda registered a growth of 14.63 per cent in its sales at 3,91,716 units in June 2010.

Rival Bajaj Auto saw sales soaring by 69.38 per cent to 1,86,401 units, while Chennai-based TVS Motor Company posted a 39.77 per cent growth at 50,887 units in June.

Honda Motorcycle & Scooter India (HMSI) saw its bike sales soaring 56.86 per cent to 58,895 units.

In the scooter segment, total sales in June jumped 46.96 per cent to 1,64,567 units as against 1,11,980 units in the year-ago period, Siam said.

HMSI's scooter sales were up by 35.22 per cent at 78,561 units, while TVS Motor's scooter sales also grew by 42.53 per cent in June at 36,469 units. Hero Honda's scooter sales jumped by 53.40 per cent at 24,613 units in last month.