Passenger vehicle (PV) market leaders, including Maruti Suzuki India (MSIL), Hyundai Motor India (HMIL) and Tata Motors, on Wednesday, reported flat or marginal growth in sales in April compared with the corresponding month last year because of a high-base effect and ongoing elections possibly dampening demand.

All in all, the wholesales (dispatches to dealers) of PVs reached 3,38,341 units in April (3,32,468 units), a year-on-year growth of 1.77 per cent.

“We have started on a very high base this year...right now, the country is going through elections and there is a model code of conduct. During the elections, the markets are a little muted. Once elections are over, I think we will be seeing a different market,” Partho Banerjee, Senior Executive Officer, Marketing & Sales, MSIL, told reporters.

Speaking on the sales performance of the company and industry, he said, “Till the month of June, I think things will be more or less like this and after June, maybe we will see revival in the market.”

The company’s domestic PV sales remained flat at 1,37,952 units (1,37,320 units) during the month.

HMIL’s flat growth

The country’s second-largest PV maker HMIL reported domestic sales of 50,201 units (49,701 units) in April, a marginal (1 per cent) y-o-y growth.

“The numbers are as expected. Although it is very difficult to predict, this flattish to 2-3 per cent growth will continue month on month. This is very much in line with what we said in the end of January because there were uncertainties on account of geopolitics, interest rates and elections. So while these (numbers) are unpredictable, they were all anticipated,” Tarun Garg, Chief Operating Officer, HMIL, said.

He added that there are new launches on a regular basis, so there wouldn’t be any negative impact in the market. “In 2022-23, we grew 20 per cent after Covid. And then we grew 8 per cent over that last year...so India has had exceptional two years of growth and there are still so many countries in the world which have not yet reached the pre-Covid level,” Garg added.

2W segment

In the two-wheeler segment, TVS Motor Company grew 29 per cent year on year in its domestic sales to 3,01,449 units (2,32,956 units) in April.

Suzuki Motorcycle India also reported a y-o-y growth of 31 per cent in its domestic sales to 88,067 units (67,259 units).

Royal Enfield, however, reported single-digit growth (9 per cent) to 75,038 units (68,881 units) in April.

In the commercial vehicle segment also, most of the manufacturers have reported growth.