Domestic commercial vehicle sales volume likely to grow by 9-11% in FY24

Domestic commercial vehicle sales volume is expected to grow 9-11 per cent in FY24 driven by medium and heavy commercial vehicles and an estimated economic growth of around 6 per cent, rating agency CRISIL said on Monday. Besides, an increased allocation to infrastructure spending in the Union Budget for next fiscal year will support demand, it said. This would be the third consecutive year of growth in the domestic CV industry, according to CRISIL. Of the total domestic CV sales, the light commercial vehicle (LCV) segment may grow 8-10 per cent while the medium and heavy commercial vehicle (MHCV) sale is expected to register a higher growth of 13-15 per cent in FY24, it said. With strong demand prospects, we expect LCV sale volumes to grow 8-10 per cent next fiscal, and cross pre-pandemic (fiscal 2019) sale volumes. MHCV sale volumes will continue to grow faster than LCVs at 13-15 per cent next fiscal, but are expected to exceed pre-pandemic sale volumes in fiscal 2025, said Anuj

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