Auto Sector Update - PC, CV, Tractor Maintain Optimism; Two-Wheeler Loses Sheen: Motilal Oswal 
Vehicles sit in traffic on a road shrouded in haze in New Delhi, India. (Photographer Kuni Takahashi/Bloomberg)

Auto Sector Update - PC, CV, Tractor Maintain Optimism; Two-Wheeler Loses Sheen: Motilal Oswal 

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Motilal Oswal Report

Demand in January 2021 is better and discounts remain low versus last year. Inventory is lower than normal for passenger vehicle and tractor, leaving headroom for higher inventory filings in the coming months.

Wholesales are expected to grow, replenishing the abnormally low inventory for PV and tractor.

Our interaction with leading industry channel partners reflects optimism (excluding two-wheeler).

Two-wheeler witnessed unexpected slowdown with 30-45 days’ inventory; PV inventory remains at minimal levels (less than seven days), with a waiting period of four to six weeks for fast-selling models.

Medium and heavy commercial vehicle segment continues to grow on the back of strong demand from Infrastructure/construction, while the cargo segment is recovering slowly with an increase in capacity utilisation.

Click on the attachment to read the full report:

Motilal Oswal Auto Sector Update 280121.pdf

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