India vs China two-wheeler sales: India is still at the top in yearly sales but while China saw a turnaround, we do not seem to have favourable months lined up!

India is going through a torrid time in terms of auto sales. Every segment – cars, two-wheelers, commercial vehicles, mopeds, have shown decline in sales for the last many months in continuation. And now we have to face another setback!

India vs China Two-wheeler Sales

For the month of September 2019, China overtook us in two-wheeler sales for the first time since December 2018. We have been consistently selling higher two-wheelers month-over-month but September turned out to be the dampener. China registered total sales of 1,659,000 units against India’s 1,656,774 units in the said month. China managed to surprise by registering a 30 percent hike in sales in September whereas India saw a 22 percent decline, continuing with the trend so far…

However, in the yearly sales, we are ahead of China with sales of 28.7 million two-wheelers (against 24.72 million units sold in China during January-September 2019). In yearly numbers India is the world’s largest two-wheeler market and we are ahead of China since 2016. However, caution lies ahead as we are on a downward trajectory and the upcoming Bharat Stage VI emission norms are set to increase two-wheeler prices yet again, by a significant amount, which is set to cause further erosion in sales.

India vs China two-wheeler sales
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China will adopt China 6 emission norms (which are similar to Euro 6 and BSVI) in July 2020. It must be noted that India is a much smaller four-wheeler market when compared to China but with a lot of potential.

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But considering the current Indian economy, we are likely to remain a major two-wheeler market and hope to see better sentiments from second half of next year.

Source – Money Control