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Published: October 18, 2024
Updated: October 18, 2024

India's Automobile Exports Surge 14% in H1FY25, Driven by Rising Demand for Passenger Vehicles and Two-Wheelers

Strong Rebound in Automobile Exports

India's automobile exports saw a significant rise in the first half of FY25, increasing by 14% year-on-year (YoY), thanks to the growing demand for passenger vehicles (PVs) and two-wheelers in international markets. After a decline in FY24 due to economic challenges in key export regions, the industry is witnessing a recovery in shipments.

Export Growth Amid Global Recovery

According to the Society of Indian Automobile Manufacturers (SIAM), total automobile exports during the April-September 2024 period reached 2,528,248 units, up from 2,211,457 units in the same period last year. The recovery was primarily driven by resurgent demand from Latin American and African markets, which had previously been affected by currency devaluations and prioritization of essential imports over vehicles.

Passenger Vehicles Lead the Way

In the passenger vehicle segment, exports rose by 12% YoY, reaching 376,679 units in the first half of FY25. Maruti Suzuki, India's largest vehicle manufacturer, led the way with exports of 147,063 units, marking a 12% growth from the 131,546 units it exported a year earlier. Hyundai Motor India, on the other hand, saw a slight decline in exports, shipping 84,900 units compared to 86,105 units in the previous year, a 1% drop.

Surge in Two-Wheeler Exports

Two-wheeler exports surged by an impressive 16% YoY during the April-September period, reaching 1,959,145 units, up from 1,685,907 units in the previous year. Scooters showed a strong growth of 19%, with shipments rising to 314,533 units, while motorcycle exports grew by 16%, totaling 1,641,804 units.

Commercial and Three-Wheeler Segment Performance

The commercial vehicle segment also experienced healthy growth, with exports increasing by 12% to 35,731 units in H1FY25. However, the three-wheeler segment faced a slight decline, with shipments dropping by 1% to 153,199 units, down from 155,154 units during the same period last year.

Positive Outlook for Indian Automobile Exports

Despite the challenges in FY24, India's automobile exports have bounced back, showing strong growth across key segments like passenger vehicles and two-wheelers. With recovering demand in overseas markets, especially in Latin America and Africa, the industry is poised for a stronger performance in the coming quarters of FY25.