India’s Three-Wheelers A New International Favourite: Exports Drive Industry’s 44.3 Per Cent Growth

India’s Three-Wheelers A New International Favourite: Exports Drive Industry’s 44.3 Per Cent GrowthRepresentative image. (Parveen Negi/India Today Group/Getty Images)

The three-wheeler industry in India recorded a growth rate of 44.30 per cent in the first seven months (April-September) of the current financial year (FY19), as reported by Financial Express. Such high growth rates were largely a result of exports to overseas markets like Southeast Asia, Africa and Latin American countries.

While domestic sales grew only by 32 per cent in this period, exports increased by as much as 63 per cent. Also, a total of 761,300 units were sold by domestic three-wheeled vehicle manufacturers in 2018. This was substantially higher than the 527,570 units sold in the corresponding period of last year, according to the latest data released by Society of Indian Automobile Manufacturers (SIAM).

However, it was earlier reported that the festive car sales in India in 2018 were the lowest in the past five years. This was primarily due to increased upfront insurance costs on account of the latest Supreme Court order and higher petrol and diesel prices.

Even in the electric vehicle segment, India’s e-rickshaws have displayed tremendous growth. According to a Bloomberg report, more than 1.5 million e-rickshaws are plying on Indian roads. This number is higher than the total number of electric cars sold in China since 2011. India achieved this feat even without much policy support from the government, unlike China.