Tata Motors and Kia India, the other two big participants, had their best-ever fiscal years for sales, although Hyundai Motor India maintained the second-largest automaker, accompanied by Tata.
The UV/SUV/MPV class had the most significant sales contribution; Tata experienced a remarkable 45% growth, while Hyundai witnessed a tremendous 18% growth. Tata's intention to boost production this year indicates that the Indian automotive sector is still expanding favourably.
With 16 lakh units sold, Maruti Suzuki India remains top, while Tata Motors and Hyundai Motor India competed for second place. Tata sold 3.7 lakh units in FY2022, compared to 4.8 lakh sold by Hyundai. However, Tata consistently sold more than 40,000 units per month in FY2023, resulting in a record annual sales total of 5.38 lakh units with a 45% gain. Hyundai's sales fluctuated, but they reached 5.67 lakh units in January through March, keeping them ahead of Tata, who finished in a close third.
Companies with strong UV/SUV/MPV portfolios have benefited the most from the rising demand for SUVs. The Creta and Venue from Hyundai and the Nexon and Punch from Tata Motors are extremely popular SUV models among the monthly best-selling UVs.
Tata Motors has fewer shipments abroad than Hyundai, India's No. 2 exporter, which allows it to concentrate more on the home market. Hyundai has an 8.5 lakh unit production capacity. But, when iFord's recently purchased Sanand facility becomes online later this year, Tata Motors would experience a huge production capacity rise of 3 lakh vehicles.
Tata Motors and Hyundai Motor India are expected to step up their competition for the No. 2 spot in the Indian market. Tata Motors has an advantage in the EV market with the Nexon, Tigor, and Tiago EVs, which can be expected to compete with ICE hatchback sales due to increased gasoline prices.
Hyundai aims to introduce six new vehicles this year, including two SUVs, hatchbacks, sedans, and flagship EVs. Tata also intends to introduce three SUVs, including the Punch EV and updated versions of the Harrier and Safari models, demonstrating the market's strong preference for SUVs.
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