The automotive retail sales in India is back in the green, and for October 2024, the convergence of Navratri and Diwali has helped register robust growth across segments.

According to the latest data released by the Federation of Automobile Dealers Association (FADA), a total of 2.8 million vehicles were registered last month, up 32.14 percent YoY, compared to 2.14 million vehicles sold last year.

This included 2 million two-wheelers (+36.34 percent YoY); 122,846 three-wheelers (+11.45 percent YoY); 483,159 passenger vehicles (+32.38 percent YoY); 64,433 tractors (+3.08 percent YoY) and 97,411 commercial vehicles (+6.37 percent YoY).

C S Vigneshwar, President, FADA stated that festivities traditionally account for 30–35 percent of total annual auto sales. The industry was keenly observing how October would unfold.

He said, “With dealers entering this crucial period fully committed and carrying all-time high inventory levels, the month did not disappoint!”

FADA shared that the rural market once again played a leading role in driving growth, particularly in the two-wheeler and passenger vehicle segments. Additionally, the Government of India's announcement of an increase in the Minimum Support Price (MSP) for Rabi crops further boosted market sentiments.

The two-wheeler sales were driven by festive schemes, discounts along with new model launches that drove consumer interest. The dealers were able to support the demand on the back of better stock availability and suppliers from OEMs.

In the passenger vehicle segment too, aggressive offers, attractive schemes and new model introductions further stimulated demand.

“Enhanced vehicle availability and strong market interest, especially for SUVs and new products, also contributed to the exceptional sales. However, despite strong sales, PV OEMs continue to heavily stock dealers, resulting in inventory levels decreasing by only five days, with overall inventory still at a high of 75–80 days. This may thus lead the season of substantial discounts to continue until the end of the calendar year,” cautioned Vigneshwar.

The commercial vehicle segment growth was driven by various factors such as supportive agricultural markets and bulk purchases, particularly for container movements.

FADA states that however dealers faced challenges such as slow demand, sluggish construction activities, financial issues among customers and increased vehicle prices leading to higher EMIs.

“Overall, while there were areas of growth, the CV market faced headwinds that tempered its overall performance,” he shared.

Great Indian wedding

While the automotive industry has been seeing a mixed results in terms of retail demand, the expectation for the rest of the calendar year remains positive. An estimated 4.8 million weddings are scheduled across the country in November and December 2024. This is expected to bring an ‘unprecedented surge’ in demand for wedding-related goods and services.

For the automotive industry this could further amplify demand for two-wheelers and passenger vehicles. In the CV segment, while supportive agricultural markets and continued bulk purchases may contribute positively, dealers remain vigilant due to factors like sluggish construction activities, financial constraints among customers and an anticipated decrease in demand post-festivities.

But on the other hand, for the passenger vehicle segment, there are apprehensions about potential slowdowns caused by customers postponing purchases in anticipation of better year-end discounts. FADA also urges, PV OEMs to further rationalise supply.

The auto retail body states that while the industry is optimistic about near-term growth driven by the wedding season and favourable market conditions, dealers are mindful of potential challenges that could affect sales momentum as the year concludes.

‘The mixed sentiments reflected in the survey highlight the need for strategic planning and cautious optimism as the auto sector navigates the remaining months of the year,’ the note concluded.

Representational image courtesy: TomFlick/Pexels

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European auto major Renault India has introduced its E-Tech 160 strong-hybrid powertrain in the Indian market with the launch of the new Renault Duster Strong Hybrid E-Tech 160. The hybrid SUV can be had at prices starting from INR 1.69 million ex-showroom across three trim levels: Evolution, Techno and Emotion.

The Duster E-Tech 160 comes with a 1.8-litre petrol engine, two electric motors, a 1.4 kWh battery pack and a multi-mode automatic transmission, producing a combined power output of 160 PS and peak motor torque of 208 Nm.

The transmission utilises two electric and four combustion gears to deliver 15 drive combinations. Certified by the Automotive Research Association of India (ARAI) at 29 kilometres per litre, the SUV enables up to 80 percent of urban driving in electric mode and incorporates regenerative braking with a B-mode selector.

The Duster E-Tech 160 features an illuminated logo grille, frequency-dependent damping, battery thermal cooling and revised cabin upholstery across variants. The Techno variant includes beige semi-leatherette trim, while the Emotion variant adds brown leatherette seats with front ventilation and six-way power adjustment. The Evolution trim is priced at INR 1.69 million, the Techno at INR 1.89 million and the Emotion at INR 1.94 million. Pre-orders are open across Renault dealerships and online channels, supported by an optional Protect 360 ownership package.

Stéphane Deblaise, CEO, Renault Group India, said, "With more than one million E-Tech strong hybrid vehicles sold worldwide since 2020, the E-Tech strong hybrid is a proven Renault powertrain technology. Now, we are bringing it to India as part of our futuREady India roadmap. Our approach is to bring to the Indian customers the best of Renault’s global technologies, while developing cars, powertrains and features specifically for Indian needs through our engineering and design centres in Chennai, our biggest outside Europe. The Duster Strong Hybrid E-Tech 160 is a clear example of this approach."

Francisco Hidalgo, Vice-President of Sales and Marketing, Renault Group India, said, "In the Duster segment, nearly half of all diesel vehicles are sold in the INR 1.7–2 million price band, and that rises to more than 90 percent for diesel automatics. That is exactly where the Duster Strong Hybrid E-Tech 160 comes in. Starting at INR 1.69 million, right at the heart of this market, we believe it is the smarter choice for customers considering diesel, combining significantly lower fuel consumption with a quieter, smoother and more sophisticated driving experience, without requiring customers to change how or where they drive."

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German luxury car brand Audi India has launched the all-new Audi Q3 compact luxury SUV at an introductory price of INR 5.19 million ex-showroom. The vehicle is locally assembled at the Skoda Auto Volkswagen India (SAVWIPL) plant in Chhatrapati Sambhajinagar.

The Audi Q3 is powered by a 2.0-litre TFSI petrol engine delivering 150 kW of power and 320 Nm of torque, paired with quattro all-wheel drive. The setup accelerates from zero to 100 km/h in 7.1 seconds. Exterior design features Digital Matrix LED headlights containing 25,600 micro-LEDs with four selectable daytime-running-light signatures, 18-inch aero alloy wheels, a panoramic sunroof and illuminated rear Audi rings.

On the inside, the cabin incorporates a digital stage panoramic display featuring a 30.22 cm Audi virtual cockpit, a 32.51 cm MMI touch screen, a head-up display, and a 12-speaker SONOS sound system with a 420-watt output. Safety features include nine airbags, adaptive cruise control, front emergency brake assist and park assist plus.

Viktoria Kaufmann-Reiger, Senior Director of Sales Overseas at Audi AG, said, "Today, is such an important day for Audi India and I am happy to be a part of this occasion. The launch of the all-new Audi Q3 is an important milestone and it became even more special due to our new AUDI AG Board Member for Sales and Marketing Mr. Martin Sander joining us here in India. His presence underscores not just the importance of this brand-new model but also India’s growing importance as an emerging market for AUDI AG. India's luxury landscape is evolving, and we will continue to offer products, technologies and experiences that reflect the aspirations of our customers and the distinctive character of our brand. Customer ambitions are growing, and so are their expectations, and at Audi we want to be well positioned to grow alongside them."

Piyush Arora, MD and CEO, SAVWIPL, said, "The launch of the all-new Audi Q3 marks an important milestone for Audi India and reflects our commitment to meeting the evolving expectations of the next generation of luxury customers. Like its predecessor, the new Q3 is being produced here in India, at our state-of-the-art Chhatrapati Sambhajinagar facility. This is a strong demonstration of the capabilities we have built within SAVWIPL, reinforcing that India plays a dual role for us, not only as a major growth market, but as a key manufacturing and engineering hub."

Balbir Singh Dhillon, Brand Director, Audi India, said, "The Audi Q3 has long been an important gateway to the Audi brand in India, and we are delighted to introduce its most progressive iteration yet. The all-new Audi Q3 combines the confidence of quattro, strong performance and everyday versatility with a significantly more intuitive technological experience and a host of thoughtful comfort and safety features. Its local assembly is another important step in our commitment to the Indian market. We are confident that its distinctive character, advanced technology and effortless usability will resonate strongly with customers seeking a modern compact luxury SUV."

The compact SUV is offered in five exterior paint options and two interior themes. Audi India supports the launch with ownership options, including roadside assistance up to 15 years alongside service and extended warranty programs up to 10 years.

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Maruti Suzuki India, the country’s largest passenger vehicle manufacturer, has completed 25 years of operations for its pre-owned vehicle retail network – Maruti Suzuki True Value, recording cumulative sales of 6.5 million pre-owned cars since its establishment in 2001.

The pre-owned vehicle network currently operates 662 retail outlets spanning 338 cities across India. True Value's operational model includes digital integration, vehicle evaluation frameworks, certification processes and warranty coverage policies for used cars.

The platform also provides financing options through the Maruti Suzuki Smart Finance digital portal, connecting buyers with public and private sector banks and non-banking financial companies.

Interestingly, the company observed an increase in first-time vehicle buyers and younger demographic groups within its pre-owned sales network as organised used-car retail and structured financing options continue to expand across urban and regional markets in India.

Partho Banerjee, Senior Executive Officer of Marketing and Sales, Maruti Suzuki India, said, "For 25 years, Maruti Suzuki True Value has worked towards making pre-owned car ownership more trusted, transparent and accessible for customers. Over its quarter-of-a-century journey, True Value has constantly reimagined itself to not just evolve with the times, but also to give customers exactly what they want. True Value has been designed as a comprehensive pre-owned car ecosystem serving buyers and sellers through 662 outlets across 338 cities. With pre-owned car ownership striking a new chord with aspirational customers, the share of young first-time buyers are constantly increasing amongst True Value customers. As we celebrate this momentous milestone, we remain committed to making personal mobility accessible and aspirational through assured quality, transparent processes and technology-enabled customer experiences."

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Japanese luxury car brand Lexus India has inaugurated its new Guest Experience Centre in Surat, expanding its retail presence in Gujarat following a recent opening in Ahmedabad.

The facility is operated by Lexus Bharat, a joint venture between Kirloskar Systems, Toyota Tsusho India and Japan's Toyota Tsusho Corporation. The location features a vehicle showroom and an operational Lexus Service Point for aftersales maintenance. The inauguration ceremony was led by Lexus Bharat Managing Director Sreenivas Chivikula and Lexus India Executive Vice President Ryosuke Tawara.

Hikaru Ikeuchi, President, Lexus India, said, "India's luxury automotive market is evolving rapidly, with guests increasingly seeking distinctive products, meaningful experiences and brands that align with their values. At Lexus, our vision is to bring the Lexus experience closer to guests across the country. The inauguration of Surat Guest Experience Centre marks an important milestone for Lexus India. As the second GEC in Gujarat, following the recent inauguration of Ahmedabad GEC, the Surat outlet further strengthens our presence in this vibrant and growing luxury market. Known for its entrepreneurial spirit and legacy of craftsmanship, Surat's pursuit of quality and excellence resonates strongly with Lexus. We are delighted to welcome guests into a space that reflects our dedication to innovation, exceptional hospitality and Omotenashi. Through this new Guest Experience Centre, we look forward to building deeper connections with our guests while delivering the unique luxury experience that defines Lexus."

Sreenivas Chivikula added: "The inauguration of our Guest Experience Centre at Surat marks an exciting new chapter for Lexus in India. Lexus Bharat is committed to supporting Lexus India's efforts to deliver exceptional guest experiences. As we enter new markets, our focus remains on delivering world-class luxury retail standards and personalised guest experiences that embody Lexus' unique experience."

The Surat facility increases Lexus India's retail network to nine Guest Experience Centres across major metropolitan markets, including Mumbai, New Delhi, Bengaluru, Chennai, Hyderabad, Chandigarh, Kochi and Ahmedabad, supported nationwide by 19 Lexus Service Point locations. Ownership programs include an eight-year or 200,000-kilometre warranty covering the vehicle and hybrid battery system, alongside five-year roadside assistance packages.

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