New Delhi: The Indian auto industry is expected to see stronger growth in 2021-22, after recovering from the devastating effects of the Covid-19 pandemic, with electric vehicle sales, especially two-wheleers, also likely to see positive movements, according to Nomura Research Institute Consulting & Solutions India. However, in the personal vehicles segment, the levels reached in 2018-19 would be reached only in 2023-24, it added.
In 2018-19, passenger vehicle sales rose 2.7 per cent to 33,77,436 units from 32,88,581 units in 2017-18, according to the Society of Indian Automobile Manufacturers (SIAM).
“After the devastating effects of the COVID-19 pandemic, it is expected that the auto industry will see stronger growth in 2021-22,” Ashim Sharma, partner and group head (business performance improvement consulting-auto, engineering and logistics) at NRI Consulting & Solutions India, said.
As far as personal vehicles are concerned, the 2018-19 levels would be reached only in 2023-24 whereas for two-wheelers, it will be achieved maybe a year after that, he added.
“In addition price hikes expected with introduction of new regulations could delay the recovery even further,” Sharma said.
In 2018-19, total two-wheeler sales rose 4.86 per cent to 2,11,81,390 units as compared with 2,02,00,117 units in 2017-18. As far as electric vehicles (EVs) are concerned, Sharma said 2021-22 would also see positive movements, especially in the two-wheeler EV segment, with new players like Ola Electric getting into the fray.