Passenger vehicle sales down 6% in Feb as chip woes continue: SIAM

Passenger vehicle sales in India fell 6 per cent year-on-year (YoY) to 2,62,984 units in February from 2,81,380 units sold in the same month last year, India's auto industry body the Society of Indian Automobile Manufacturers or SIAM said on Friday.     The decline continued owing to supply-side challenges such as semiconductor shortage, rise in cost due to new regulations, higher logistics cost and commodity prices etc.    Passenger vehicle sales stood at 2,54,287 units last month (January 2022). 

  Two-wheeler sales dipped 27 per cent to 1,037,994 units in February (2022) compared with 14,26,865 units sold last year. Three-wheeler sales also fell 2 per cent to 27,039 units in the said month as against 27,656 units sold last year, SIAM said. 

Meanwhile, the total production of passenger vehicles-three Wheelers, two Wheelers and quadricycles in April 2021 - February 2022 stood at 20,042,351 units. 

Commenting on February 2022 sales data, Rajesh Menon, Director General, SIAM said, "Sales in the month of February 2022 has declined compared to February 2021, across passenger vehicle, two-wheeler and three-wheeler categories."

"Continuing supply-side challenges like Semiconductor shortages, increase in cost due to new regulations, higher commodity prices, higher logistics cost etc. have impacted overall sales in the auto industry. Industry is closely watching the possible impact of the ongoing conflict in Ukraine, as Global Supply Chains could come under stress," he added.