Passenger Vehicle Sales Declined By 13.72% In November 2024: FADA

November was supposed to be the year of the culmination of the festive season and therefore the last push for all carmakers in terms of sales. But Passenger Vehicle sales have seen a sharp dip in November ’24, compared to the same time last year. Year-on-year (YoY)sales are down by 13.72 per cent. But what’s even more notable is the month-on-month (MoM) decline of 33.37 per cent. FADA President, C S Vigneshwar, said, “While November was initially expected to build on its prior momentum, particularly due to the marriage season, dealer feedback suggests that this segment underperformed overall expectations.”

Dealers cited weak market sentiment, limited product variety and insufficient new launches, compounded by the shift of festive demand into October. Inventory levels have reduced by about 10 days, but remain high at around 65-68 days. 

FADA continues to urge OEMs to further rationalize inventory so that the industry can enter the new year on a healthier footing, reducing the need for additional discounts.

Two-wheelers, buoyed by the festive spill over, grew by 26.67 per cent MoM and 15.8 per cent YoY, achieving record-high November registrations that even surpassed November’23 levels. The rural demand too for two-wheelers has been high and also one of the key reasons for the surge in sales. 

December’s prospects are mixed, with around 40.54 per cent of dealers anticipating flat sales, 39.19 per cent expecting growth, and 20.27 per cent foreseeing de-growth.