High Demand for Passenger Vehicles Expected to Continue Beyond Festive Season

High Demand for Passenger Vehicles Expected to Continue Beyond Festive Season

The President of the Society of Indian Automobile Manufacturers (SIAM) stated that the high demand currently being observed for Passenger Vehicles (PVs) is likely to be sustained well beyond the festive season.

Key Factors for Sustained Growth

• Impact of GST Rate Cuts: The recent GST rate rationalization is credited as a major factor for boosting affordability and consumer sentiment. The price reduction, especially on smaller PVs, has brought fence-sitters into showrooms, a trend expected to continue.
• Economic Resilience: The overall resilience of the Indian economy and the continued positive momentum in infrastructure and urban spending are creating a stable environment for long-term consumer purchasing.
• Preference for Personal Mobility: The ongoing consumer preference for personal mobility remains strong, encouraging households to upgrade or purchase new vehicles.
• Industry Outlook: The positive assessment from SIAM suggests that the current high sales volumes are not merely a result of pent-up festive demand but reflect a structural improvement in market conditions and consumer confidence, signaling a sustained growth trajectory for the PV segment.