12-13-2006, 04:09 AM
[center]<b><span style='font-size:14pt;line-height:100%'>Vehicle Production crosses 10 million in 11 months</span></b>[/center]
An analysis of production data by the Society of Indian Automobile Manufacturers (SIAM) revealed that the vehicle production by Automobile Industry in India crossed 10 million in a calendar year for the first time in the history of the automobile industry in India. For the period, January to November 2006, the total production of vehicles in India, as per SIAM data, was 10,031,886. Given that the 10 million mark was exceeded by just over 31,000 vehicles it is certain that the 10 millionth vehicle was produced on 30th November 2006.
The 10 million mark was achieved as the industry grew at 16.82% as compared to last year. Last year for the same period, 8,587,131, vehicles were produced. The fact that the industry served the needs of mobility of the masses was underscored by the fact that over 77% of the vehicles were two wheelers. According to SIAM, 7,741,261 two wheelers were produced this year as compared to 6,686,963 during the same period last year, reflecting a growth of 15.77 %. Motorcycles and Step-Throughs led the growth in the two wheeler segment with an increase in production of 19.96%.
Other segments including passenger vehicles, commercial vehicles and three wheelers have also demonstrated significant growth in the period January to November 2006 compared to the corresponding period last year. Passenger car production also crossed the 1 million mark in the 11 month period, 1,100,799 passenger cars were produced. In the Passenger Vehicle segment, passenger cars recorded the growth of 18.59% and Multi-purpose vehicle 9.24%. The overall increase in production of passenger vehicles was 16.38% in the period January to November 2006 compared to the corresponding same period in the last calendar year 2005. Passenger vehicles accounted for about 13.60% of the total automobile production.
In the Commercial Vehicle segment, Light Passenger Carriers showed positive growth of 9.26 % and goods carrier in both the M&HCVs and Light Commercial Vehicle category grew by nearly 30%. The 189,716 LCVs and the 251,114 M & HCVs produced in the 11 months, accounted for about 4.4 % of the vehicle production.
In the three wheeler segment production of passenger carriers grew by 34% compared to a growth of 17.20% in the goods carrier category. A total of 485,049 three wheelers were produced in the 11 months so far.
The drivers for this performance continue to be strong fundamentals of the Indian economy, increasing purchasing power, new and contemporary product launches, attractive schemes from manufacturers and financial institutions. The growth in exports also contributed in a major way to reaching this significant mile stone. Export of 561,285 two wheelers, 109,075 three wheelers and 175,746 passenger vehicles, were the highlight, reflecting a growth of 23.79%, 65.09% and 11.26% respectively, over the corresponding period last year.
Reaching the 10 Million mark in production augurs well for the Indian industry and the economy. This was particularly important in the context of the vision set out in the Automotive Mission Plan (AMP) of the Government to make India an automotive hub. Implementation of the AMP would further give an impetus to the industry and the Indian economy.
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