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The Indian automotive market witnessed a mixed performance in December 2024, with some manufacturers reporting significant sales growth while others experienced a slowdown. Maruti Suzuki India Ltd. (MSIL) and Toyota Kirloskar Motor (TKM), partners in a significant joint venture, emerged as the top performers, showcasing remarkable growth. MSIL's sales surged by 30%, reaching 178,248 units, a substantial increase from the 137,551 units sold in December 2023. This impressive growth was driven by strong domestic sales (up 24% to 132,523 units), a doubling of sales to other OEMs (8,306 units), and a 39% increase in exports (37,419 units). This highlights the company's success across various market segments and its ability to cater to both domestic and international demand. The robust performance of MSIL underlines the enduring popularity of its models in the Indian market and its capacity to adapt to evolving consumer preferences. The company's strategic focus on diverse market segments appears to have played a crucial role in achieving this significant growth.
Toyota Kirloskar Motor (TKM) also demonstrated strong performance, recording a 29% year-on-year growth in sales, reaching a total of 29,529 units in December 2024. This includes 4,642 units in exports. The company's success can be attributed, in part, to a strategic focus on vehicles that emphasize sustainability, dependability, enhanced safety, and better resale value, as noted by Sabari Manohar, Vice President, Sales-Service-Used Car Business, TKM. This suggests a growing market trend towards vehicles that offer a holistic value proposition, encompassing not only performance but also long-term value and environmental considerations. TKM's strategic alignment with evolving consumer preferences positions it well for continued success in the competitive Indian automotive market. Their commitment to sustainable mobility and globalizing India's automobile manufacturing base further underlines their long-term vision and ambition.
In contrast to the spectacular growth of Maruti Suzuki and Toyota, other major players in the Indian automotive market displayed more muted results. Mahindra & Mahindra Ltd. reported a respectable 16% year-on-year growth in total sales, reaching 69,768 units, with SUV sales growing by 18% to 41,424 units. Their export sales also saw a significant surge, increasing by 70% to 3,092 units. While this growth is commendable, it pales in comparison to the performance of the top performers. The continued strength of the SUV segment for Mahindra & Mahindra reflects its successful positioning within this crucial market sector. The growth in exports further indicates the company's increasing global reach and potential for further expansion into international markets. However, the comparatively lower growth rate suggests a need for the company to explore new strategies to enhance market share and further accelerate sales growth.
Tata Motors Ltd. reported a mere 1% year-on-year growth in total domestic sales, reaching 76,599 units. This included a 1% increase in Passenger Vehicle sales (44,289 units) and a 1% decrease in Commercial Vehicle sales (33,875 units). This relatively flat performance, despite optimistic statements from Shailesh Chandra, MD, Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd., indicates the need for the company to implement new strategies to enhance its market position. The company's confidence in future growth, based on upcoming product launches and a strengthened multi-powertrain strategy, points towards a potential for increased market share in the coming year. However, the current performance highlights the challenges faced in maintaining strong growth in a competitive market.
Hyundai Motor India Ltd. experienced a decline in sales, with a 2.4% year-on-year drop to 55,078 units. Domestic sales fell by 1.3% to 42,208 units, and exports decreased by 6.1% to 12,870 units. Despite this downturn, Tarun Garg, whole time director and chief operating officer, Hyundai Motor India, highlighted the company's ability to maintain sales momentum, suggesting that the company is well-equipped to navigate through industry-wide headwinds. The drop in sales, however, underscores the difficulties faced by the company in maintaining its market share amidst increasingly competitive conditions. The company's continued presence and ability to weather this storm signify its resilience and potential for future recovery.
Other manufacturers also experienced varied results. Honda Cars India reported a decline in sales, with a total of 9,460 units sold in December 2024, compared to 11,651 units in December 2023. Domestic sales fell, while exports saw marginal growth. This emphasizes the challenges faced by smaller players in the Indian automotive market in competing effectively against larger, more established brands. JSW MG Motor India, however, reported a strong performance, achieving a 55% year-on-year growth, selling 7,516 units in December 2024. This highlights the success of the company's strategy and its ability to navigate the market effectively. The contrasting performance of Honda and JSW MG Motor India further illustrates the dynamic and highly competitive nature of the Indian automotive landscape.
Source: Maruti, Toyota, M&M lead in December auto sales, Tata Motors, Hyundai report muted show