Toyota expects PV mkt to carry same momentum

New Delhi: The Indian passenger vehicle market is expected to carry forward the momentum of this year to the next purely driven by economic fundamentals, having already moved beyond pent-up demand-induced growth, according to Toyota Kirloskar Motor Executive Vice President & Country Head Vikram Gulati.

While the SUVs are expected to witness fast growth in general in 2024, the mid to higher end of the segment will also see faster acceleration, although the small cars category will remain a concern. “I think the market is growing. It will continue to grow in a very healthy way. We are well beyond the part when people were saying this is pent-up demand. We have built much beyond that, and the festive season has seen very good pickup,” Gulati told PTI when asked about the outlook for 2024. He further said, “Going forward, I think the fundamentals are good.

In terms of the economic forecast, our economy continues to be stable and growing amidst a very turbulent environment.” Despite the shocks of the happenings in Ukraine and in the Middle East, Gulati said, “We’ve been largely insulated. So that augurs well, plus this also brings positive sentiment. Therefore, it means that going forward, spending is going to be good in terms of people wanting personal mobility.” As per industry estimates, total sales of Passenger Vehicles (PVs) in India are expected to cross the 40 lakh unit-mark in 2023.

In 2022, PV sales were at 37.93 lakh units, against 30.82 lakh in 2021. Gulati said the current shift towards SUVs will continue to happen next year with more consumers willing to pay an additional amount for better features and safety. “In terms of performance and convenience, I think there is a very clear sign that customers will not compromise on that.” “What that basically means is going forward, we’ll see much of the current trend magnifying itself. Even within the SUVs, we see the mid to higher and SUVs growing...,” he said.