India Recorded Strong Growth in Automobile Exports During Q1 FY2025

India’s automobile exports showed impressive growth in the June quarter, rising by 15.5% year-on-year, with all segments, except for three-wheelers, experiencing increased shipments. According to the latest data from the Society of Indian Automobile Manufacturers (SIAM), total exports reached 11,92,577 units in the first quarter of the current fiscal year, up from 10,32,449 units during the same period last year.

Passenger vehicle exports played a significant role in this growth, with shipments totalling 1,80,483 units, reflecting a robust 19 % increase from 1,52,156 units in the previous year. Maruti Suzuki India emerged as the leading exporter, with 69,962 units shipped, a rise from 62,857 units in the first quarter of the 2023-24 fiscal year. Hyundai Motor India also contributed significantly, exporting 42,600 units, up from 35,100 units in the same timeframe last year.

In the two-wheeler segment, exports surged to 9,23,148 units, representing a 17 % increase compared to 7,91,316 units in the year-ago period. Additionally, commercial vehicle shipments rose by 8 % year-on-year, reaching 15,741 units, up from 14,625 units the previous year.

However, the three-wheeler segment faced challenges, with shipments declining by 3 % to 71,281 units in the April-June period, down from 73,360 units during the same quarter last year.

SIAM President SIAM Vinod Aggarwal said it is a good sign for the industry that exports have started doing well. “I think that’s a very good sign that exports seem to have bottomed out, especially in the commercial vehicle segment… we have started seeing the growth from the first quarter this year,” he noted. Till last year, there was a huge drop in the export volume of trucks and buses, he added. “But Q1 has been good even for two-wheelers and passenger vehicles. We are very positive that exports have started to recover,” Aggarwal said.

Despite a 5.5% decline in overall automobile exports in FY24 due to global economic challenges, the first quarter of the current fiscal year indicates a promising turnaround, with total exports reaching 45,00,492 units compared to 47,61,299 units in FY23.

Also, India’s biggest automobile IPO of 2024! Hyundai’s IPO will open from October 15 to 17, 2024. Don’t miss your chance to be part of the automobile industry!

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.