India's auto sector to grow at high single digit in FY2023-24: ICRA

The two-wheeler industry continues to struggle with industry volumes still below the pre-covid peak levels

The domestic automotive industry is expected to grow at high single-digit levels in 2023-24, a report by rating agency ICRA said. According to the report, the demand for the passenger vehicles segment is expected to grow at 6-9 per cent, commercial vehicles by 7-10 per cent, two-wheelers by 6-9 per cent and tractors by 4-6 per cent in FY24.

This is compared to a projected 21-24 per cent growth for passenger vehicles, 18-20 per cent for commercial vehicles, 9-12 per cent for two wheelers and 0-4 per cent for tractors in FY23.

The domestic automotive industry has seen