Entrepreneur Karan Asrani hails the consistent supply of semiconductors for the growth of the Indian automobile industry

The automobile industry is back on its feet and is performing well in the Indian market. Does it mean that the Indian automobile industry has a bright future ahead? Well, there is a criterion to keep in mind before jumping to any conclusion. As per the numbers, the passenger vehicles in the country have seen radical growth as the PV segment saw the highest-ever half-yearly sales in H1 FY23. Karan Asrani of Mumbai's Krishna Group is ecstatic that the PV category continues its strong run with great demand from consumers.

Despite the recent increase in interest rates, consumers have turned up to buying passenger vehicles. With the automobile industry having a dream run, this would be the fifth time that the sales of passenger vehicles have surpassed the mark of more than three lakh this year. Interestingly, new models of Maruti Suzuki, Mahindra & Mahindra, Tata Motors and other SUVs saw high dispatches during September.   

Earlier, the auto industry had a tough time with the shortage of chips and component supplies. The numbers as of September suggest that the rise of passenger and commercial vehicles was 9% compared to the same month in 2021. Asrani believes that gradual improvement in the supply chain and rising demand for passenger vehicles are helping the automobile industry to grow by leaps and bounds. 

He says, "Not just the passenger vehicles but even commercial vehicle sales have maintained steady growth in September. The demand for two-wheelers went up by 16% with 1,557,429 units being sold. The sales of scooters saw a jump of 9.5% to 504,146 units." Adding to it, he further stated that it is also crucial to know that the Indian automobile industry will grow only when the supply of global semiconductors is adequate. 

According to Karan Asrani, manufacturers like Maruti Suzuki, Tata Motors, Mahindra & Mahindra and Honda will continue to dominate the auto sector once the supply of semiconductors is on track. "It will benefit the domestic sales of automobiles. No manufacturer would want the shortage of electronic components as it would result in the decline of car sales" Karan further added. 

Apart from this, his dealership outlet sells multiple automobile brands like Tata Motors, MyTVS, Mahindra First Choice and Mahindra & Mahindra. As the supply of semiconductors is doing well, Karan Asrani concluded by sharing that October will be a profitable month for the automobile industry with festivals like Dussehra and Diwali.