Buoyed by highly successful new launches from automakers like Maruti, Hyundai, Renault and Mahindra, the Indian passenger car industry posted an encouraging growth of 7.24% in FY2016 that ended on March 31, a five-year high. A recent report in Financial Express says that, had it not been for these significant launches, the market would have posted a rather modest growth of 4.14%.
In the last fiscal, passenger car sales stood at 2.79 million units of which the newly launched products contributed to 2.96 lakhs. In other words, 10.6% of total passenger car sales in FY2016 came from new launches.
The Maruti Baleno, Hyundai Cret and Renault Kwid were the most successful new products as they maintained a monthly sales average of over 5,000 units. The Honda Jazz, Mahindra TUV300 and KUV100 too pitched in with a decent contribution of over 3,000 units per month. Cars like the Ford Figo twins and Maruti S-Cross didn’t set the sales chart on fire but they did collectively contribute to the industry’s overall growth.
Two consecutive monsoon failures resulted in very low rural and semi-urban markets over the last two years, so the success of the new products comes as a relief to their respective makers. Without the Creta, Hyundai would have posted a flattish growth last fiscal and without the Kwid, Renault India wouldn’t have registered growth at all.
Hyundai Creta – Photos
Via – Financialexpress.com