India's Vehicle Retail Sales Surge by 9% to Exceed 26 Million Units in 2024

New Delhi, Jan 2 (NationPress) Fueled by increasing private consumption and disposable incomes, India has experienced a rise in vehicle retail sales of at least 9% in 2024 (year-on-year), surpassing 26 million units.

This figure exceeds the pre-Covid high of 25.4 million units recorded in a single year in 2018.

Industry analysts noted that key factors to monitor in 2025 will include the government's commitment to infrastructure spending and growth in end-use sectors, which will bode well for the commercial vehicle market.

“As we look forward, we anticipate a demand increase in Q4 FY25 across various segments of the commercial vehicle sector,” stated Girish Wagh, Executive Director of Tata Motors Ltd.

The Federation of Automobile Dealers Associations (Fada) has expressed optimism for 2025, especially with numerous vehicle launches on the horizon, and they foresee the electric vehicle (EV) market performing strongly.

In 2024, EV sales reached 1.95 million units, a rise from 1.5 million in 2023. EV penetration also increased to 7.5%, compared to 6.39% the previous year.

In the electric two-wheeler (2W) segment, Bajaj Auto's market share climbed by 3% to 25% in December 2024, up from 22% in November. Conversely, Ola Electric's market share dropped by 5% month-on-month to 19% in December, down from 24% in November.

In the passenger vehicle (PV) market, Maruti Suzuki India saw a 30% increase in sales, reaching 1,78,248 units in December 2024, compared to 1,37,551 units in the same month last year.

Kia India reported a 6% increase in total sales, achieving 2,55,038 units in 2024, marking its highest annual sales to date, up from 2,40,919 units in 2023. Hyundai Motor India Limited (HMIL) also recorded its highest-ever domestic sales of 6,05,433 units in 2024.