Total two wheeler sales dipped 28.37 percent YoY while MoM sales also reported a 27.25 percent de-growth
The two wheeler segment in India has posted double digit year-on-year and month-on-month decline in sales. Increasing fuel prices, rising input costs, dismal economic conditions (both in rural and urban areas) and price increases announced by OEMs have all had a cascading effect on lower sales.
A study reveals that cost of ownership of two wheelers has risen over 10 percent follow a 17-20 percent increase in fuel prices that has crossed Rs 100 per liter mark. Even as demand for petrol powered two wheelers have taken a beating, the same cannot be said about their electric counterparts that has seen a surge in demand.
Two Wheeler Sales Nov 2021 – Total
November 2021 sales (domestic and exports) reported by five major OEMs together were at 12,78,224 units, down 28.37 percent over sales of 17,84,591 units sold in November 2020. This was also a 27.25 percent MoM de-growth over 17,57,126 units sold in October 2021. It is this MoM de-growth that caused it to be the worst festive season in a decade.
Taking total two wheeler sales and exports into account, every OEM posted de-growth on a YoY basis. Hero was No 1, followed by Bajaj, Honda, TVS and Royal Enfield. It was only RE sales that increased 16.84 percent MoM to a total of 51,564 units, up from a total of 44,133 units sold in October 2021.
Two Wheeler Sales Nov 2021 – Domestic
Taking 5 two wheeler makers – Hero, Honda, TVS, Bajaj and Enfield into account, sales in domestic markets dipped 35.92 percent YoY to 9,50,755 units in November 2021. This was against 14,83,667 units sold in November 2020. Each OEM posted a de-growth.
Hero MotoCorp sales dipped the maximum in domestic markets, down 42.90 percent to 3,28,862 units as against 5,75,957 units sold in November 2020. The company commanded a share of 34.59 percent which also dipped from 37.15 percent held in October 2021 when sales had stood at 5,27,779 units.
At No. 2 was Honda Motorcycle and Scooter India (HMSI) with a 37.92 percent YoY de-growth to 2,56,170 units, down from 4,12,641 units sold in November 2020. MoM sales dipped 35.08 percent from 3,94,623 units sold in October 2020 thereby causing a dip in share from 27.78 percent to 26.94 percent. TVS Motor Co sales fell 29 percent YoY to 1,75,940 units in November 2021. This was against 2,47,789 units sold in November 2020. MoM de-growth was at 32.01 percent from 2,58,777 units sold in October 2021.
Bajaj Auto at No. 4 posted a 22.98 percent YoY de-growth and a 27.06 percent MoM de-growth to 1,44,953 units sold in November 2021. This was against 1,88,196 units sold in November 2020 and 1,98,738 units sold in October 2021. Despite these dismal sales, share percent increased from 13.99 held in October 2021 to 15.25 in November 2021.
Trailing the list at No.5 was Royal Enfield with a 24.12 percent YoY de-growth to 44,830 units, down from 59,084 units sold in November 2020. MoM sales however, increased by 10.39 percent over 40,611 units sold in October 2021. Like every other two wheeler maker, RE had been facing supply chain issues last year as well.
Two Wheeler Sales Nov 2021 – Exports
In terms of exports, the five two wheeler majors performed better. Exports in the past month rose 8.67 percent to 3,27,009 units, up from 3,00,924 units shipped in November 2020. MoM shipments however, dipped 2.85 percent over 3,36,598 units in October 2021. Global demand put Bajaj Auto Limited in the lead with 193,520 units sold last month, a 1.67 percent de-growth over 1,96,797 units shipped in November 2020. Exports remained flat on a MoM basis with 1,92,565 units shipped in October 2021.
Next was TVS Motor Co with exports to the tune of 81,923 units in November 2021, up 28.55 percent over 63,730 units shipped in November 2020 while MoM exports dipped marginally by 0.98 percent from 82,736 units in October 2021.
Honda (24,211 units), Hero MotoCorp (20,531 units) and Royal Enfield (6,824 units) all posted a YoY growth. However, Honda exports dipped MoM by 35.58 percent over 37,584 units shipped in October 2021 while RE experienced the highest MoM growth by 93.75 percent to 3,522 units in October 2021.