Car sales in February 2014

Things are finally looking up for Tata Motors in the passenger car segment. Tata Motors has sold 11,325 cars in the month of February 2014, 148 cars more than the same month last year. The marginal 1.3 percent growth isn’t much but considering that in Feb 2013, sales fell by about 70 percent, this is a relief for Tata Motors. With new products like the Zest and Bolt on the anvil and an Aria refresh slated soon, Tata Motors could well be leaving its worst of phases behind.

Continuing its sales momentum in February is Honda. The City is seeing unprecedented success since its launch clocking 7,213 units in its second month. It has sent a few shivers down the spine of Hyundai who readied a facelift for the Verna hurriedly to combat the new City. The Amaze continues to do well and cumulatively, Honda cars have sold 14,543 units in February. The only thing stopping Honda from achieving higher numbers is capacity constraint. But with the Tapukara plant operational since last month, Honda should be climbing up the sales charts in the coming months once the new facility is up in full swing.

Maruti sales have risen by 1.8 percent in February to the corresponding period last year. Domestic sales for India’s largest carmaker stood at 99,758 units in February. Sales of sub-compacts like the Alto 800, K10, Wagon R and Stingray fell 9.6 percent. The compact segment that includes the Swift, Celerio, Ritz and Estilo grew 19.4 percent to 28,672 units from 24,021 units in February 2013. While there is growth, we expected a larger contribution from the new entrant – Celerio. Is it eating into the Swift and Ritz pie? We can’t know since Maruti doesn’t reveal individual product numbers. The Dzire is maintaining its position as the sub-4 metre sedan leader with 18,353 unit sales in February. Ertiga sales have fallen around 12 percent in February.

Hyundai has flat-lined at the sales charts in February 2014. The company sold 34,005 units this February, three more than last Feb. This, despite the Grand i10 adding to their line-up from last year. While the Grand i10 is doing well, the i10 has lost some steam and the Verna is facing stiff competition from the City. The Xcent will only come out next month so we expect the trend to continue for the next two months for Hyundai.

Mahindra’s passenger car sales have dipped 18 percent in February 2014. 19,308 units were sold last month compared to 23,421 units in the same period in 2013. But Mahindra should be breathing easy this month after the excise duty cuts in Feb as the have benefited the most from this interim budget with their product line-up. Sales should go up in the coming few months for the SUV manufacturer.

Top five carmakers in February 2014: