Automobile Sales: May 2022

Automobile Sales May 2022

Market Outlook
by Shreya Anaokar Last Updated: 2022-06-03T12:19:11+05:30

The Indian automobile industry managed to make a recovery in May 2022 and has registered healthy growth in terms of vehicle sales when compared to the same period last year. Domestic manufacturers like Maruti Suzuki, Tata Motors, Mahindra, and Kia among others were in the green last month.

Last year, the domestic auto industry was grappling with tough times due to the COVID-19 pandemic’s second wave wreaking havoc on the workforce, carmakers and also on the supply chain. The low buying sentiment among consumers and production disruptions were the main reason behind the low sales.

However, now when the economy seems to be recovering and with production seemingly back on track, several carmakers are reporting year-on-year as well as month-on-month sales growth.

Domestic Passenger Vehicle industry volumes increased by low single digit on a MoM basis in May 2022 as the strong demand scenario was partly offset by supply-chain constraints. Maruti Suzuki’s total volumes increased by 7% MoM in May 2022 led by 47% MoM increase in export segment volumes and 1% MoM increase in domestic segment volumes. This is the second consecutive month where Maruti Suzuki’s domestic PV market share (excluding vans) remained below 40%. 

Hyundai Motors and Kia Motors domestic volumes reported 2-4% MoM decline in May 2022. Tata Motors domestic volumes increased by 10% MoM whereas M&M domestic PV volumes increased by 21% on a MoM basis in May 2022. MG Motors doubled its volumes on a MoM basis whereas Honda India reported 4% MoM volume increase in May 2022. Toyota reported a 31% MoM decline in volumes in May 2022.

Domestic 2-Wheeler industry volumes increased by high single digit on a MoM basis mainly on account of the wedding season. Hero MotoCorp’s total volumes increased by 17% MoM in May 2022. However, the company has delayed the launch of their EV vehicle from July 2022 to around the Diwali festival. TVS Motor reported 3% MoM increase in volumes led by 7% MoM increase in motorcycle segment volumes, partly impacted by the chip shortage. Export 2W volumes for TVS Motor declined by 7% YoY in May 2022. Royal Enfield total volumes reported 2% MoM increase led by 22% MoM increase in export volumes in May 2022. Bajaj Auto reported 11% MoM decline in volumes led by 11% MoM decline in 2W segment volumes and 50% MoM decline in export 3W segment volumes in May 2022.

Medium and heavy commercial vehicle (M&HCV) segment volumes grew on a MoM basis led by recovery in freight demand across segments. Tata Motors total CV volumes increased by 188% YoY led by 426% YoY growth in passenger carrier segment, 226% YoY growth in M&HCV segment and 364% YoY growth in Intermediate and Light Commercial Vehicles (I&LCV) segment. Ashok Leyland reported 12% MoM increase in volumes led by 28% MoM growth in the Light Commercial Vehicles segment. Volvo Eicher Commercial Vehicles (VECV) reported a 2% increase in total volumes whereas Mahindra and Mahindra’s domestic CV segment volumes increased by 22% MoM in May 2022.

The domestic tractor industry reported >35% YoY increase in volumes in May 2022. Higher food prices resulting in better cash flow for farmers led to higher demand for tractors. With timely arrival of the south-west monsoon and forecast of a normal monsoon, the kharif crop is expected to deliver record production, which augurs well for tractor demand. M&M tractor volumes increased by 48% YoY whereas Escorts volumes increased by 31% YoY in May 2022. Escorts has been losing market share over the past few months, which remains a concern.


Start Investing in 5 mins*

Get Benefits worth 2100* | Rs. 20 Flat Per Order | 0% Brokerage

About the Author

Shreya Anaokar is a Content Writer at 5paisa. She has completed her Master’s in Finance and Graduation in Statistics from the University of Mumbai. 


Investment/Trading is subject to market risk, past performance doesn’t guarantee future performance. The risk of trading/investment loss in securities markets can be substantial. Also, the above report is compiled from data available on public platforms.

Open Free Demat Account

& get benefits worth 2100*

Resend OTP
Please Enter OTP
  • Have Promo code?
  • Use code ACT2100
Enter Promo code

By proceeding, you agree to the T&C.

Start Investing Now!

Open Free Demat Account in 5 mins

Enter Valid Mobile Number