Automobile Sales Increased by 12% in 2024: SIAM

India’s automobile industry witnessed a significant 12% increase in 2024, with total dispatches reaching approximately 2.55 crore.

The growth was fueled by positive consumer sentiment and the country’s stable economic environment, according to the Society of Indian Automobile Manufacturers (SIAM).

The two-wheeler segment played a major role in driving this growth, with sales increasing by 14.5%. 

Scooter sales surged by 20%, reaching 67 lakh units, while motorcycle dispatches saw a 12% rise, totaling 1.23 crore units. Overall, two-wheeler dispatches amounted to 1.9 crore units in 2024.

Passenger vehicles also experienced solid growth, with a 4% increase in sales, totaling 43 lakh units. The three-wheeler segment followed suit, registering a 7% growth, with 7.3 lakh units dispatched.

In contrast, commercial vehicle sales faced a slight dip of 3%, with dispatches totaling 9.5 lakh units. Despite this, SIAM noted a recovery trend in the commercial vehicle segment during the later part of the fiscal year.

Shailesh Chandra, President of SIAM, attributed the overall growth to positive market sentiment, consumer confidence, and the government's stable policy framework. 

"The automobile industry has benefitted from improving consumer sentiments, as well as favorable macroeconomic conditions," he stated.

In December 2024, passenger vehicle dispatches increased by 10% year-on-year, reaching 3.14 lakh units. However, the two-wheeler segment faced a 9% decline, with 11 lakh units dispatched during the same period.

The October-December quarter was notable for setting records across several segments. It marked the "highest-ever sales" for passenger vehicles, commercial vehicles, and three-wheelers during a third quarter, showcasing strong demand in these sectors.

Looking ahead, the industry remains optimistic about 2025. Experts expect sustained growth, driven by continued consumer confidence, favorable policies, and upcoming events like the Bharat Mobility Global Expo, which is expected to boost momentum in the sector.

What is SIAM?

SIAM stands for "Society of Indian Automobile Manufacturers". It is a charitable organization in India that represents major vehicle and engine manufacturers in the country.

SIAM works to promote the growth of the automobile industry in India by:

• Advocating for favorable government policies.
• Supporting research and development.
• Facilitating the adoption of sustainable technologies.
• Providing a platform for collaboration between industry players and the government.

SIAM also publishes key data and reports about vehicle sales, production, and market trends, making it an authoritative source for the automobile industry in India.