India's Vehicle Exports Set To Reach 50% Of Production By 2028


(MENAFN- KNN India) New Delhi, Dec 23 (KNN) India's automobile export sector has seen impressive growth during the first 11 months of 2024, with passenger vehicle (PV) exports rising by 7.79 per cent and two-wheeler shipments increasing by nearly 22 per cent, according to data from the Society of Indian Automobile Manufacturers (SIAM).

These figures reflect India's expanding presence in global markets, with the country currently exporting around 14.6 per cent of its PVs and 16.34 per cent of two-wheelers produced domestically between January and November.

India's ambitious target of exporting 50 per cent of its total automobile production is expected to drive further growth in the coming years.

Industry experts forecast double-digit growth in exports over the next four to six years, driven by robust demand in international markets and India's increasing manufacturing capabilities.

However, domestic sales in November did not meet market expectations. After a buoyant festive season in October, retail sales of passenger vehicles grew by only 11.2 per cent in November, which fell short of the anticipated demand.

This sluggish performance occurred despite the expectation that the wedding season, which saw about 4.8 million weddings scheduled across India, would boost sales of two-wheelers and passenger vehicles.

In fact, passenger vehicle sales in November dipped by 14 per cent, while two-wheeler sales showed a modest 16 per cent growth-still below expectations.

However, other vehicle segments performed better, with three-wheeler and tractor sales rising by 4.23 per cent and 29.88 per cent, respectively.

Commercial vehicle sales, on the other hand, saw a decline of 6 per cent, contributing to the overall downturn in the domestic market.

Despite these challenges, the outlook for India's automobile sector remains positive, with continued growth in exports and recovery expected in domestic sales as the year progresses.

The long-term projections for India's automobile industry suggest that its global footprint will expand, offering a significant boost to the country's economy in the years ahead.

(KNN Bureau)

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KNN India

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