Auto sales jump ahead of festive season, but Maruti reports drop

Passenger vehicle majors like Hyundai, Tata Motors, M&M, Toyota Kirloskar and Honda on Wednesday reported growth in domestic sales in August riding on festive sentiments, although market leader Maruti Suzuki posted a decline amid a semiconductor shortage affecting the industry.

The country's largest carmaker Maruti Suzuki India Ltd (MSIL) reported domestic sales at 1,10,080 units, as compared to 1,16,704 units in the same month last year, down 6%.

"Sales volume of the company in August 2021 was affected due to electronic components shortage. The company took all possible measures to limit the adverse impact," MSIL said in a statement.

On the other hand, Hyundai Motor India Ltd (HMIL) said its domestic sales were up 2% to 46,866 units as against 45,809 units in August 2020.

Mahindra & Mahindra (M&M) reported a 17% increase in domestic passenger vehicle sales at 15,973 units in August as compared to the same month last year when it sold 13,651 units.

"Demand across our product portfolio continues to remain strong with Thar, XUV 300 and our recently launched Bolero Neo and our Bolero Pik-up range clocking in impressive booking numbers," M&M Chief Executive Officer - Automotive Division, Veejay Nakra said.

Supply of semiconductors continues to be a global issue for the auto industry and has been a major area of focus for the company as well, he added.

Tata Motors also said its passenger vehicle sales in the domestic market stood at 28,018 units in August, up 51% as compared to 18,583 units in the same month last year.

Likewise, automaker Kia India said its sales increased by 55% to 16,750 units last month as against 10,845 units in August 2020.

Honda Cars India Ltd (HCIL) posted 49% growth in domestic sales in August at 11,177 units as against 7,509 units in the corresponding month last year.