Two Wheeler Segment News Today

Maruti Suzukis RC Bhargava expects small car market revival in two years post two-wheeler recovery, with EV production planned for European exports. Bhargava further says: "Maruti has avoided trying to give any kind of guidance on margins or profitability or any such thing. All I can say is that I am optimistic. The conditions in India are going to be favourable"

Kumar Rakesh of BNP Paribas discusses strong demand for electric two-wheelers, caution in two-wheeler segment, impact of FAME II end on EV demand, tractor industry cyclicality, and top pick for 2024 being Maruti Suzuki. In case of EVs. we have seen a very strong demand for electric two-wheelers in March. April will be much weaker adjusting for this pre-buying, but May onwards, penetration expected to start inching back.

The sales surge would be propelled by falling battery prices and resultant product price cuts by some automakers, robust government support for eco-friendly vehicles, higher prices of fossil fuels and growing environmental awareness among consumers. Launch of new models by automakers is also helping attract new buyers into this segment. This years sales performance would mark a 67% jump from the 60,910 electric PVs sold in FY23.

EV Sales: The sales surge would be propelled by falling battery prices and resultant product price cuts by some automakers, robust government support for eco-friendly vehicles, higher prices of fossil fuels and growing environmental awareness among consumers. Launch of new models by automakers is also helping attract new buyers into this segment. This year’s sales performance would mark a 67% jump from the 60,910 electric PVs sold in FY23.

Two-wheeler sales in India rose 26 per cent to 1.49 million units in January 2024 as against 1.18 million units sold in the same month of last year

In December 2023, the manufacturer sold 3,26,806 units as compared to 2,81,514 units sold in December 2022.

Pre-owned Car Market: The pre-owned car industry, which stayed strong despite challenges in FY22, saw a significant 14-16% growth in FY23. This growth was driven by factors like the market reopening, a growing preference for personal mobility, and rise in disposable incomes. The industry is expected to grow at a rate of 15% in FY24.

On the export front, Bajaj Auto saw a 6% decline at 1,45,259 units in November 2023, compared to 1,53,836 units exported in the corresponding period of the previous year.

For CVs, the second half of FY24 could prove to be better than the first half. For two-wheelers, investor focus is on the festive season.

Two-wheeler Segment: According to Ather Energy Chief Business Officer Ravneet S Phokela, policy predictability is required to establish investment plans for increasing electric mobility in the two-wheeler category. The company, in which Hero MotoCorp has a large stake, wants to electrify the domestic two-wheeler industry completely by 2030, even as it prepares to begin exporting to an India-like market in the near future.