FADA Releases January’21 Vehicle Registration Data

Consumer Organization Appreciate and Congratulate Shri Nitin Gadkari and Ministry of Road Transport and Highways for their Efforts towards Passage of MVAB 2019

The Federation of Automobile Dealers Associations (FADA) today released the Monthly Vehicle Registration Data for January’21.

Commenting on how January’21 performed, FADA President, Mr. Vinkesh Gulati said, “After witnessing a one off growth in December, January Auto Registrations fell once again by ~10% YoY. Auto Industry clearly misjudged the demand which returned post lockdown. The industry’s underestimation of post-covid rebound along with chipmakers prioritizing the higher-volume and more lucrative consumer electronics market has created a vacuum for semiconductors. This has resulted in a shortage in supply for all categories of vehicles especially Passenger Vehicles even though inquiry levels and bookings remained high. New launches and SUV’s continued to see high traction and helped in restricting the overall PV registrations fall by a bigger margin.

 The recent price hike undertaken by Auto OEMs also added to woos as Two Wheeler have become more expensive for lower and middle income class. Commercial Vehicle registrations were also hit due to vehicle financing still not back to normal and high BS-6 cost.”

 Near Term Outlook

 The first budget of this decade stressed on making India an Aatmanirbhar Bharat. Union Budget 2021 finally brought smile for Auto Industry as its age old demand of bringing Vehicle Scrappage Policy (voluntary) saw light of the day. The final contours of the policy though awaited, will decide its attractiveness and popularity. This including announcement to induct more buses in public transport, increased infrastructure spending and building National Highways will play a pivotal role in reviving Commercial Vehicles segment over a longer period of time.

Last year, the Auto Industry was transitioning from BS-4 to BS-6 during Q4 FY’21. This saw huge discounts leading to higher sales and registrations. With a high base and continued shortage of semiconductors on one hand and gradual opening of academic institutes and business as usual along with Covid Vaccine’s effectiveness on the other, FADA continues to remain guarded in its optimism for Auto Registrations during Q4 of this financial year.

Key Findings from our Online Members Survey

  • Sentiments
    • 46% dealers rated it as Good
    • 35.3% dealers rated it as Neutral
    • 18.8% dealers rated it as Bad
  • Liquidity
    • 45.6% dealers rated it as Good
    • 38.2% dealers rated it as Neutral
    • 16.2% dealers rated it as Bad
  • Expectation in February
    • 41.1% dealers rated it as Growth
    • 34.6% dealers rated it as Flat
    • 24.3% dealers rated it as De-growth
  • Inventory
    • Average inventory for Passenger Vehicles ranges from 10 – 15 days
    • Average inventory for Two-Wheeler ranges from 30 – 35 days

 Chart showing Vehicle Registration Data for January’21 with YoY comparison can be found below:

 All India Vehicle Registration Data for January’21

2W 11,63,322 12,75,308 -8.78%
3W 31,059  63,785 -51.31%
PV 2,81,666  2,94,817 -4.46%
TRACTOR 60,754  54,662 11.14%
CV 55,835  74,439 -24.99%
LCV 34,464  48,014 -28.22%
MCV 3,466  4,038 -14.17%
HCV 14,279  19,412 -26.44%
Others 3,626  2,975 21.88%
Total 15,92,636 17,63,011 -9.66%

Source: FADA Research


  1. The above numbers do not have figures from AP, MP, LD & TS as they are not yet on Vahan 4.
  2. Vehicle Registration Data has been collated as on 07.02.21 and in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,273 out of 1,480 RTOs.
  3. CV is subdivided in the following manner
    1. LCV – Light Commercial Vehicle (incl. Passenger & Goods Vehicle)
    2. MCV – Medium Commercial Vehicle (incl. Passenger & Goods Vehicle)
    3. HCV – Heavy Commercial Vehicle (incl. Passenger & Goods Vehicle)
    4. Others – Construction Equipment Vehicles and others
About Neel Achary 18195 Articles
Neel Achary is the editor of Business News This Week. He has been covering all the business stories, economy, and corporate stories.