The year 2021 brought new hopes to the automobile industry. After the disastrous year that 2020 was, 2021 became the silver lining to all the damage. The rise in the number of cars sold in India in 2021 is a clear depiction of the revival journey of the automobile industry in India.
The entire auto industry, especially the car market, had to undergo huge losses in the Covid year of 2020.
With the loss of about 3.5 lakh jobs and about USD 328 million in turnover per day, the automobile industry had to take a blow in 2020. Despite the huge losses, the car market in India started showing signs of recovery in the first month of 2021 itself. In the month of January, the number of cars sold in India in 2021 was recorded at over 276 thousand units.
The industry experts hope to see this rise in the number of car sales in India 2021 throughout the year.
What is the latest car sold facts in India? The answer to this question shall be discussed further in this publication.
Car sales in India 2021
The automobile industry is growing at a rate of around 12.7% CAGR, healthy enough to recover the losses soon. The year 2021 is expected to see a shift in the current trends of the automobile market. New technologies are being introduced every single day, and the car market has been quick to adopt every one of them.
Some car sold statistics 2021 are:
● As compared to the 33,456 units of passenger cars sold in May 2020, the car market saw huge progress in 2021. In January 2021 itself, over 276 thousand units of passenger cars were sold.
● The cars sold in India in 2021 are expected to see a dominance of electric cars and autonomous cars.
● The majority of car sales in India in 2021 is expected to be through e-commerce and online platforms.
● Moreover, the year shall witness the rise in the number of second-hand car sales in 2021.
With the above car sales statistics, the car industry in India is expected to outgrow itself in 2021.
As the effect of the Coronavirus degrades, and the lockdown is lifted, the lives of the people shall get back on track. Transportation is an essential part of the lives of the common people. Be it for going to school, the office, or just shopping, people prefer cars over two-wheelers for their comfort and safety. Keeping those things in mind, the car market in India is expected to explode when the pandemic situation gets neutralized. This is evident from the sudden increase in the number of car sales in India in 2021 when the government announced the availability of a vaccine against Covid. This explosion would help with the recovery of the losses from the past year.
What went wrong in 2020?
In a nutshell, EVERYTHING! The car market in India suffered losses due to a lot of factors in the year 2020.
● The trade restrictions imposed by the government created hurdles in the production of cars—India imports around 29% of all its auto parts from China. With China being the epicenter of the virus outbreak, getting these auto parts was difficult. Hence the slow production rate.
● The complete nationwide lockdown made almost every industry shut their manufacturing units for quite some time. The skilled laborers were lost, the raw materials were unavailable, and the import-export of the country was regulated.
● The general jobs of common people were lost, resulting in low disposable finances with people.
● With everything moving online, the need to travel was minimized. Hence much lower demand for cars.
● Minimization of investors due to unstable international relations.
All of those combinedly resulted in the low sales of cars in India in 2020. However, the car sold facts in India in 2021 promise a better future for the car market.
What is going right in 2021?
On its way back to normal, the industries are slowly and steadily regaining their market value, so is the car market. Some signs of recovery from the car market in India in 2021:
● The arrival of electric cars in the mid-range pricing is going to be affordable for the majority of Indians. The government is also encouraging the EV segment in the car market through its policies and collaborations. The electric cars segment is going to be especially in the urban car markets.
● The sales of luxury cars are on the rise in India and are expected to cover up quite a part of the car market.
● Autonomous or self-driven cars are making their entry in the price range below the elites. They are expected to be safer and more advanced than ever.
● The demand for cars is increasing, given the better living standards of youngsters and the middle class of today.
● There is also an increase in the number of digital services being offered by the leading car manufacturers in India. For example, Maruti Suzuki witnessed a growth in their sales through digital means, which is now five times the units that were sold earlier through these means. The number of cars sold online is about 20% of the total of their cars sold today.
The car sold statistics in 2021 clearly indicate a better and more fulfilling experience in 2021 for the car markets in India. The number of car sales in India in 2021 is expected to be a mix of traditional and modern trends. While a significant number of cars would be sold in the offline markets, the online marketplace is expected to increase its importance in the sales of cars in India in 2021.
Additionally, the used-cars segment is estimated to gain even more popularity, especially in the luxury car segment, where the price drop is even more considerable than in the affordable car range.
In conclusion, 2021 is going to be a year of innovation and success for the car market and the auto industry as a whole.