Acuité believes that the demand in the domestic PV segment will remain moderate over the near term

A marginal recovery is witnessed in the domestic PV market during Feb'22 as reflected by the domestic sales of top 12 PV players in the country. The total domestic sales of these players reported a marginal growth of 1.5% YoY during the same period against Feb'21. However, the domestic sales of the top two market leaders i.e. MSIL and Hyundai reported decline of 7.5% and 14.6% YoY respectively during Feb'22.

The overall demand in 2W segment continued to remain significantly in the negative zone in Feb'22 as per the sales volumes reported by the top 5 players in the industry. The total sales of the major 5 players in the industry declined 21.9% YoY majorly on account of lacklustre domestic demand especially in the semi-urban and the rural market across the country.

The recovery in demand of CVs in the domestic market continued to remain strong during Feb'22 marked by a further pickup in domestic CV sales of the top four CV manufacturers. The total domestic CV sales of the four major players registered a healthy growth of 14.0% YoY during Feb'22 owing to recovery in economic activities particularly infrastructure development and construction across the country.

Acuité had expected a steady recovery in the CV segment since H2FY22 which has been reinforced by the latest data, and remain optimistic on a further recovery going ahead with gradual improvement in industrial activity, continuing buoyancy in merchandise exports and the government continuous push towards development of infrastructure particularly the National Highways.

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Source : Equity Bulls

Keywords

AutoSales February2022 Acuite PVSegment CVSegment