Two-wheeler production falls in February for the third month in a row

Two-wheeler production in the country fell for the third straight month in February.

According to the Society of Indian Automobile Manufacturers (SIAM), production in February 2023 was 13,48,669 units, down 81,859 units from February 2022’s 14,30,428 units.

In January 2023, 14,54,476 units were produced versus 14,96,064 units in January 2022, while in December 2022 the companies produced 12,10,590 units versus 13,07,784 units.

Firms have reduced production due to a continued slowdown in exports as global markets are hit.

“Export demand has fallen by 30 percent. Emerging markets depend on imports while demand falls. Nigeria is an important market for us and there are demonstrations there. We expect normality by mid-March,” said Rakesh Sharma, Executive Director, Bajaj Auto Ltd, during the company’s December quarterly results.

However, two-wheeler exports recorded a slight increase in February at 2,35,087 units, 14,984 units up from January’s 2,20,103 units.

business line had previously reported that 10-year data from the Society of Indian Automobile Manufacturers (SIAM) shows sales of two-wheelers stood at 1,34,66,412 units in fiscal 22, compared to 1,48,06,778 units in fiscal 2014. In addition, the Number of vehicles sold between April 2022 and January 2023 at 1.34.41.873.

“The entry-level segment has been hit harder, while rural demand is still subdued and hard hit. It has yet to recover from the effects of the coronavirus,” said Manish Raj Singhania, President of the Federation of Automobile Dealers’ Association (FADA).