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Updated On: 07-Mar-2024 01:17 PM
CV sector is resilient with 5% YoY growth. Tata Motors leads, Mahindra progresses, and Force Motors shows substantial growth.
The Commercial Vehicle (CV) industry has shown incredible resilience in the face of difficulties including cash flow constraints and election-related purchasing postponements. With a noteworthy 5% Year-on-Year (YoY) increase, the industry's resilience in the face of a changing political and economic environment is demonstrated by its capacity to overcome obstacles.
A few major companies have emerged as the main drivers of this robust CV market's noteworthy expansion. Tata Motors Ltd. has been instrumental in influencing the dynamics of the business, always maintaining a dominant market share. Both the significant expansion of Force Motors Limited and the consistent advancement of Mahindra & Mahindra Ltd are notable. These businesses not only overcame difficulties in the industry, but they also made a substantial beneficial impact on the CV sector's resilience and general growth.
A closer look at the market share distribution among Commercial Vehicles Original Equipment Manufacturers (OEMs) reveals interesting insights into the competitive landscape:
Commercial Vehicle OEM | Feb’24 | Market Share (%) Feb’24 | Feb’23 | Market Share (%) Feb’23 |
Tata Motors Ltd | 31,915 | 36.12 % | 31,958 | 37.89 % |
Mahindra & Mahindra Ltd | 21,206 | 24 % | 19,354 | 22.95 % |
Ashok Leyland Ltd | 14,736 | 16.68 % | 14,589 | 17.30 % |
VE Commercial Vehicles Ltd | 5,979 | 6.77 % | 5,906 | 7 % |
Maruti Suzuku India Ltd | 3,323 | 3.76 % | 3,318 | 3.93 % |
Force Motors Limited, A Firodia Enterprise | 2,024 | 2.29 % | 920 | 1.09 % |
Daimler India Commercial Vehicles Pvt. Ltd | 1,837 | 2.08 % | 1,800 | 2.13 % |
SML Isuzu Ltd. | 771 | 0.87 % | 550 | 0.65 % |
Others | 6,576 | 7.44 % | 5,942 | 7.05 % |
Total | 88,367 | 100 % | 84,337 | 100 % |
Source: FADA Research
As of February 2024, Tata Motors Ltd is a leader in the Commercial Vehicle Original Equipment Manufacturer (CV OEM) market, having sold 31,915 units for a market share of 36.12% in Feb’24. Despite a slight decrease from February 2023 (37.89% market share with 31,958 units sold), Tata Motors Ltd is still one of the major industry players.
In February 2024 Mahindra & Mahindra Ltd accounted for a significant market share amounting to 24%, which included a sales volume of 21,206 units. This represented an increase from February 2023 where they held a market share of 22.95% with sales at 19,354 units and depicts steady growth and competitiveness within the sector.
Another player in the CV OEM market Ashok Leyland Ltd had a market share of about 16.68% by selling 14,736 units in February 2024. Thus it was slightly lower than that of February 2023 when it had a 17.30% market share, which involved 14,589 units sold.
VE Commercial Vehicles Limited somehow managed to remain relevant as they took over only 6.77% of the entire vehicle population despite their sales of 5,979 units in February 2024. However the previous year they held up to 7% market share with 5,906 units sold.
Maruti Suzuki India Ltd, a notable participant in the CV OEM industry, maintained a 3.76% market share in February 2024, selling 3,323 units. This reflected a slight decline from February 2023, where they had a 3.93% market share with 3,318 units sold.
Force Motors Limited, a Firodia Enterprise, experienced notable growth, achieving a 2.29% market share in February 2024 with 2,024 units sold. This was a substantial improvement from February 2023, where they held a 1.09% market share with 920 units sold.
Daimler India Commercial Vehicles Pvt. Ltd held a 2.08% market share in February 2024, selling 1,837 units. In the previous year, they had a 2.13% market share with 1,800 units sold.
SML Isuzu Ltd. demonstrated progress with a 0.87% market share in February 2024, selling 771 units, compared to a 0.65% market share in February 2023 with 550 units sold.
The category of "Others" collectively accounted for a 7.44% market share in February 2024, with a total of 6,576 units sold. In February 2023, this category held a 7.05% market share with 5,942 units sold.
Also Read: Three Wheelers Sales Data February 2024
Altogether, the total CV OEM market in February 2024 reached 88,367 units, with Tata Motors Ltd leading the way, holding a 36.12% market share. This marked an increase from February 2023, when the total market stood at 84,337 units. The data illustrates the dynamic landscape of the CV OEM sector, highlighting the strengths and shifts among key players in the market.