Review of commercial vehicles (cargo) domestic sales

600 564
mLCV mM&HCV
500 467 448

®

2400 338 334 =. 351

s 305

$300 258 255

3 195

00 185

3

2100

E

0
FY15 FY16 FY17 FY18 FY19 FY20
Source: SIAM, CRISIL Research

M&HCV

MHCV recorded a decline of 1% CAGR between fiscals 2015-2020. Sales of medium and heavy commercial
vehicles (MHCV) in fiscal 2020 fell by ~47% over a high base due to:

. COVID-19 impact in the month of March

. Weak freight demand as GDP growth for the fiscal was 4.2% in FY20

. CV dealers closed fiscal 2020 at near zero inventory levels due to COVID-19 outbreak
. Higher freight capacity due to revised axle norm lowering demand for new trucks

. Weak finance availability via lower LTVs due to NBFC liquidity crunch

Segment wise sales of MHCV

 

400 32% 40%
350 30%
00 20%
10%
gy 250 0%
oS
= 200 -10%
> 150 -20%
= 100 “30%
g -40%
2 50 -50%
-= oo -60%
FY16 FY17 FY18 FY19 FY20
me ICV ma MCV me MAV ma TT 0 =—=y-o-y-growth
Source: SIAM, CRISIL Research
LCV

LCV registered a growth of 6% CAGR between fiscal 2015-2020. LCV goods sales fell by ~21% in fiscal 2020
due to slowing private consumption, lesser availability of market load and lower loan-to-value now being offered
to transporters amidst the ongoing NBFC liquidity crunch

100
