Commercial vehicle industry volumes to see 7-10 pc growth

15 Feb 2023 CW Team

However, it added, the growth will slow from 24-26% in the current fiscal year.

Icra stated that the macroeconomic environment has improved, replacement demand has increased by 16% year over year, and the underlying industries such as steel, cement, mining, automobiles, and e-commerce have shown strong traction. These growth trends were evident in the third quarter of the current fiscal, according to wholesale dispatches.

It was highlighted that freight rates were still holding steady and that this, along with good freight availability, was sustaining fleet operator viability.

Medium and heavy commercial vehicles (M&HCV), light commercial vehicles (LCV), and buses all had broad-based growth patterns in the third quarter and the nine months that concluded on December 31, 2022, according to Icra.

Icra Assistant Vice President & Sector Head - Corporate Ratings Sruthi Thomas stated that "sales in the domestic CV industry continue to be propelled by multiple tailwinds including replacement of ageing vehicles, pick-up in mining, infrastructure, and construction activities, improvement in the overall macroeconomic environment, and healthy fleet utilisation levels resulting in improved fleet operator viability.

The increased capex spending of Rs 10 trillion in the Union Budget for 2023–24, which is further proof of the government's continuous emphasis on infrastructure development, bodes well for sustainable growth, particularly in the heavy truck category over the short term, she noted.

Icra anticipates that the CV OEMs' financial performance will also improve, driven by lower operating costs and a reduction in commodity prices. As a result, the combined operating profit margin of CV OEMs is anticipated to increase to 6% in FY2023 and further in the following fiscal year.

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

According to rating agency Icra, the commercial vehicle market volume is anticipated to increase by 7 to 10% in the upcoming fiscal year. The expansion of e-commerce, back-to-school and office seasons, replacement demand, government infrastructure spending, and back-to-work scenarios would all contribute to the volume growth, it was underlined. However, it added, the growth will slow from 24-26% in the current fiscal year. Icra stated that the macroeconomic environment has improved, replacement demand has increased by 16% year over year, and the underlying industries such as steel, cement, mining, automobiles, and e-commerce have shown strong traction. These growth trends were evident in the third quarter of the current fiscal, according to wholesale dispatches. It was highlighted that freight rates were still holding steady and that this, along with good freight availability, was sustaining fleet operator viability. Medium and heavy commercial vehicles (M&HCV), light commercial vehicles (LCV), and buses all had broad-based growth patterns in the third quarter and the nine months that concluded on December 31, 2022, according to Icra. Icra Assistant Vice President & Sector Head - Corporate Ratings Sruthi Thomas stated that sales in the domestic CV industry continue to be propelled by multiple tailwinds including replacement of ageing vehicles, pick-up in mining, infrastructure, and construction activities, improvement in the overall macroeconomic environment, and healthy fleet utilisation levels resulting in improved fleet operator viability. The increased capex spending of Rs 10 trillion in the Union Budget for 2023–24, which is further proof of the government's continuous emphasis on infrastructure development, bodes well for sustainable growth, particularly in the heavy truck category over the short term, she noted. Icra anticipates that the CV OEMs' financial performance will also improve, driven by lower operating costs and a reduction in commodity prices. As a result, the combined operating profit margin of CV OEMs is anticipated to increase to 6% in FY2023 and further in the following fiscal year.

Infrastructure Urban

27 Jun 2026

RR Kabel features in Hurun India 500 list

RR Kabel has been featured in the 2025 Burgundy Private Hurun India 500, a list of India’s 500 most valuable companies. The list is compiled by Burgundy Private, Axis Bank’s private banking business, in partnership with Hurun India.The recognition highlights RR Kabel’s sustained growth, market leadership and long-term value creation in India’s consumer electrical sector. The annual list recognises companies that have contributed to India’s economic landscape through scale, performance and business value.The Burgundy Private Hurun India 500 ranks listed companies based on market capit..

Infrastructure Urban

27 Jun 2026

Vedanta ranks among India’s top 100 workplaces

Vedanta Group has been recognised among India’s Top 100 Best Companies to Work For 2026 by Great Place to Work India. The recognition reflects the company’s focus on building a high-trust, high-performance and inclusive workplace across its businesses in natural resources, critical minerals, energy and technology.Over the past five years, Vedanta has enabled nearly Rs 25 billion in employee wealth creation through its broad-based Employee Stock Option programme. The company said the initiative is aimed at encouraging ownership and shared value creation across levels.Vedanta has also built ..

Real Estate

26 Jun 2026

AGM Vijaylaxmi launches Sixty3 W.E. Bizpark

AGM Vijaylaxmi Group has launched Sixty3 W.E. Bizpark, a mixed-use commercial development in Goregaon East, Mumbai. The project includes contemporary office spaces and a high-street retail component designed to support businesses, retailers and professionals.Located along the Western Express Highway, Sixty3 W.E. Bizpark is planned as a G+25-storey commercial tower. It offers office spaces ranging from 545 sq ft to 3,200 sq ft, with a 3.60 metre floor-to-floor height aimed at improving spatial comfort, natural light and operational efficiency.The project features a high-street retail boulevard ..