India Small Commercial Vehicle Market 2027

FY2017 – FY2027 INDIA SMALL COMMERCIAL VEHICLE MARKET FORECAST AND OPPORTUNITIES Published: December 2021 www.techsciresearch.com MARKET INTELLIGENCE . CONSULTING

Table of Contents Table of Contents S. No. Contents 1. Product Overview 2. Research Methodology 3. Executive Summary 4. Impact of COVID-19 on India Small Commercial Vehicle Market 5. Voice of Customer 5.1. Factors Influencing Purchase Decision 5.2. Brand Recall 5.3. Brand Satisfaction Level 6. India Small Commercial Vehicle Market Outlook 6.1. Market Size & Forecast 6.1.1. By Value & Volume 6.2. Market Share & Forecast 6.2.1. By Vehicle Tonnage (Less Than 1 Ton, 1-2 Ton, 2-3 Ton) 6.2.2. By Industry (E-Commerce, FMCG, Pharma, Electronics, Construction, Agricultural, Hospitality, Forestry, Oil & Gas and Others) 6.2.3. By Propulsion (ICE and Electric) 6.2.5. By Region (North, West, East and South) 6.2.6. By Company (FY2021) 6.3. Market Map (By Vehicle Tonnage, By Industry, By Propulsion and By Region) 2 Automotive © TechSci Research 2

Table of Contents S. No. Contents 7. India 2-3 Ton Small Commercial Vehicle Market Outlook 7.1. Market Size & Forecast 7.1.1. By Value & Volume 7.2. Market Share & Forecast 7.2.1. By Industry 7.2.2. By Propulsion 7.3. Market Map (By Industry) 8. India Less Than 1 Ton Small Commercial Vehicle Market Outlook 8.1. Market Size & Forecast 8.1.1. By Value & Volume 8.2. Market Share & Forecast 8.2.1. By Industry 8.2.2. By Propulsion 8.3. Market Map (By Industry) 9. India 1-2 Ton Small Commercial Vehicle Market Outlook 9.1. Market Size & Forecast 9.1.1. By Value & Volume 9.2. Market Share & Forecast 3 Automotive © TechSci Research 3

Table of Contents S. No. Contents 9.2.1. By Industry 9.2.2. By Propulsion 9.3. Market Map (By Industry) 10. Market Dynamics 10.1. Drivers 10.2. Challenges 11. Market Trends and Developments 12. India Economic Profile 13. Pricing Matrix 14. Competitive Landscape 14.1. Lohia Auto Industries 14.2. Tata Motors Limited 14.3. Ashok Leyland Limited 14.4. Atul Auto Limited 14.5. Piaggio Vehicles Pvt. Ltd. (PVPL) 14.6. Mahindra & Mahindra Ltd 14.7. Bajaj Auto Ltd. 4 Automotive © TechSci Research 4

Table of Contents S. No. Contents 14.8. TVS Motor Company 14.9. Isuzu Motors India Private Limited 14.10. Saera Electric Auto Pvt. Ltd (Mayuri) 15. Strategic Recommendations 16. About Us & Disclaimer 5 Automotive © TechSci Research 5

PRODUCT OVERVIEW

Scope of Report Product of Interest (POI): Small Commercial Vehicle Small commercial vehicles are vehicles that are propelled by either an internal combustion engine (ICE) or electricity and used for the purpose of load carriage. These vehicles can be three-wheelers or four-wheelers and have a vehicle tonnageofupto3tons. Market Segmentation INDIA SMALL COMMERCIAL VEHICLE TONNAGE INDUSTRY • Less Than 1 Ton Year Range VEHICLE MARKET • E-Commerce • 1-2 Ton • FMCG • 2-3 Ton • Pharma Review Period PROPULSION • Electronics FY2017 – FY2020 • Construction • ICE • Agricultural Base Year • Electric • Hospitality FY2021 • Forestry REGION • Oil & Gas Estimated Year • North • Others FY2022 • South • East Forecast Period • West FY2023 – FY2027 7 Automotive © TechSci Research 7

RESEARCH METHODOLOGY

Research Methodology Market Formulating Developing List Data Data Data Profiling Questionnaire of Respondents Collection Validation Analysis In-depth secondary In order to conduct List of industry TechSci conducted Data obtained as a The data was scrutinized research was conducted to industry experts’ players and industry interviews with result of primary using MS-Excel, statistical determine top players in interviews, TechSci specialists was industry experts and and secondary tools and internal the India small commercial formulated a detailed developed. industry players for research was proprietary database to vehicle market, overall discussion guide. data collection and validated through obtain qualitative and market size and segmental verification. rigorous quantitative insights about market size. triangulation. the India small commercial vehicle market. Primary Research Desk Research Company Analysis ✓ Identifying Key Opinion ✓ Recent Developments ✓ Market Participants Data Data Filter Research & Actionable Business ✓ Market Changing ✓ Key Strengths Collection & Analysis Intelligence Insights Solution Leaders Aspects/Dynamics ✓ Questionnaire Design ✓ Government Policies ✓ In-depth Interviews ✓ Conclusion Primary Research Secondary Paid Sources Research ✓ LinkedIn ✓ Company Websites ✓ Factiva ✓ TechSci Internal ✓ Company Annual ✓ Hoovers Database Reports ✓ White Paper Study ✓ Financial Reports ✓ Investor Presentations ✓ Regulatory Body ✓ Associations, etc. 9 Automotive © TechSci Research 9

Research Methodology Baseline Methodology Our dedicated team of industry experts has monitored and analyzed various aspects of India small commercial vehicle market. The team has analyzed the outlook of various segments of this market, while considering the major influencing factors such as increasing demand for logistic services from different sectors like e-commerce, FMCG, construction, agricultural, pharma, among others. The study includes market forecasting, which would enable our clients to take better decisions while planning their strategy to achieve sustainability in India small commercial vehicle market. Methodology Followed for Calculation of Market Size: • Market Size By Value and Volume: Market size, in terms of value and volume, for the year FY2021 was calculated based on information collected through exhaustive secondary research and primary surveys, with various key opinion leaders/stakeholders, such as small commercial vehicle manufacturer & supplier companies, channel partners, market influencers & end users, industry experts and other industry participants. • The team interviewed more than 15 small commercial vehicle manufacturer & supplier companies, 45 channel partners and 10 industry experts and other value chain stakeholders in India small commercial vehicle market to obtain the overall market size for FY2017-FY2021, which was validated by the Delphi technique. Taking standard deviation into consideration, the market size was averaged out, to arrive at the historical years data. • Respondents were asked about the current and future market growth rates, market shares by vehicle tonnage, by industry, by propulsion, by company and by each region. Removing the outlier responses, the geometric mean of growth estimates and supplier wise revenue shares generated across various segments were considered, to arrive at the final revenue shares. Revenue shares generated across various segments were further triangulated based on the response from other stakeholders. 10 Automotive © TechSci Research 10

Research Methodology Methodology Followed for Calculation of Market Shares: • Market shares by vehicle tonnage, by industry, by company and by region were calculated based on the responses received through primary surveys with industry experts, in which the respondents were asked about the market shares or revenue generated from various segments of electric small commercial vehicle market. The final shares were calculated by taking the geometric mean of the responses gathered from key opinion leaders after eliminating the outliers. Methodology Followed for Forecasting: • TechSci Research performed periodical checks on data collected through the surveys with logic checks and analyzed the survey results in SPSS/Tableau Software. • Data triangulation techniques were applied to fill the gaps and to present a more meaningful picture of the market. To forecast India Small Commercial Vehicle Market, TechSci Research used various forecast techniques such as: ✓ Moving Average ✓ Time Series Analysis ✓ Regression Analysis ✓ Econometric and Judgmental Analysis 11 Automotive © TechSci Research 11

Research Methodology TechSci Research used its own forecast tool, which is based on the growth of various allied industries in respective regions. TechSci Research also used the impact analysis during short, medium and long term period to estimate the demand and to reach accurate market number. The currency used in the report is the United States Dollar (USD), with the market size indicated in USD million. Partial List of Companies Interviewed Key Secondary Sources ▪ Lohia Auto Industries ▪ Society of Indian Automobile Manufacturers ▪ Tata Motors Limited ▪ World Bank ▪ Ashok Leyland Limited ▪ TechSci Research Proprietary Database & ▪ Atul Auto Limited Knowledge Repository ▪ Piaggio Vehicles Pvt. Ltd. (PVPL) ▪ Company Annual Reports ▪ Mahindra & Mahindra Ltd ▪ Industry Magazines ▪ Bajaj Auto Ltd. ▪ Industry Reports ▪ TVS Motor Company ▪ News Dailies ▪ Isuzu Motors India Private Limited ▪ Credible Paid Databases ▪ Saera Electric Auto Pvt. Ltd (Mayuri) 12 Automotive © TechSci Research 12

Strategic Recommendation Increasing vehicle production and booming e-commerce industry to drive the demand for India small commercial vehicle market for the forecast period. According to TechSci Research report, “India Small Commercial Vehicle Market - By Region, By Company Forecast & Opportunities, 2027”, India small commercial vehicle market was valued at over USD1909 million in 2021 and is forecast to grow at a CAGR of 15.14% to reach USD4256.93 million by 2027. The E-commerce industry is witnessing colossal growth in the past few years, and the outbreak of COVID-19 has further contributed to the increased sales. Small commercial vehicles are employed for the on-demand delivery and the demand for small commercial vehicles is increasing rapidly to meet high demand from e-commerce businessesto deliver goods on time. The demand for small commercial electric vehicles in India has witnessed significant growth owing to its affordable application in last-mile cargo and logistic needs. For small commercial vehicle operators, low total cost of ownership is considered one of the crucial factors for businessgrowth.In2021,pricesofpetrolanddieselin the countryhadbeenhigh,with stateslikeRajasthan, Tamil Nadu, Telangana, etc., already breaching the USD1.31 per liter mark. According to Mahindra Electric Mobility Limited, one of their small electric commercial vehicles in the cargo segment, Treo Zor, has a certified driving range of 118 km-125 km on a full charge. For the same distance traveled, the charging cost is comparatively cheaper than the fuel cost. As a result, the total cost of ownership of the small electric commercial vehicle decreases dramatically for a longer span of time than its counterpart. India small commercial vehicle market is segmented into vehicle tonnage, industry, propulsion, region, and company. Based on vehicle tonnage, marketcanbedividedintolessThan1ton,1-2Ton,and2-3Ton.TheIndiasmallcommercialvehiclemarketismajorlypropelledbythe2-3ton segment, accounting for a market share of 47.16%, in volume terms, in FY2021. One of the main factors determining the growth of the segment is its ability to carry heavier loads for longer distances. Moreover, the country is an industrial and agricultural powerhouse, where it is very commonforpeopletocarryheavygoods.Smallcommercialvehicleslying in 2-3 tons such as Tata Intra V30, Tata Yodha 1200, Mahindra Supro Profit Truck Maxi LX, etc., come in handy for such applications. Based on the region, West India holds the major share in the India small commercial vehicle market with a 36.22% market share in terms of volume in FY2021. The region also accounts for the largest small commercial vehicle fleet in the country. West India comprises the most happening and largest cities of India, such as Mumbai, Jaipur, Ahmedabad, Pune, etc. West India leads over the other regions in terms of road infrastructure, industries, ports, etc., and is home to major industrial sectors such as chemical, construction, consumer durables, pharma, etc. Leading players operating in India small commercial vehicle market include: Lohia Auto Industries, Tata Motors Limited, Ashok Leyland Limited, Atul Auto Limited, Piaggio Vehicles Pvt. Ltd. (PVPL), Mahindra & Mahindra Ltd, Bajaj Auto Ltd., TVS Motor Company, Isuzu Motors India Private Limited, Saera Electric Auto Pvt. Ltd “Based on industry, E-commerce accounted for 14.94% market share in terms of volume in FY2021 in India small commercial vehicle market. The e-commerce industry is booming in India owing to the growing internet penetration and large discount offers on online sales. According to World Bank open data, 41% of India’s population uses internet, compared to 20.81% in 2018. The enormous growth in internet penetration in India has transformed the way business is done in the country.” said Mr. Karan Chechi, Research Director with TechSci Research, a research basedglobalmanagementconsultingfirm. 13 Automotive © TechSci Research 13

Strategic Recommendation India Small Commercial Vehicle Market Size, By Value (USD Million), By Volume (Thousand Units), FY2017-FY2027F CAGR FY2017-FY2021 CAGR FY2022E-FY2027F By Value: xx% By Value: xx% By Volume: xx% By Volume: xx% FY2017 FY2018 FY2019 FY2020 FY2021 FY2022E FY2023F FY2024F FY2025F FY2026F FY2027F Value (USD Million) Volume (Thousand Units) India Small Commercial Vehicle Market Share, By Vehicle Tonnage, By Volume, FY2017-FY2027F FY2017 FY2018 FY2019 FY2020 FY2021 FY2022E FY2023F FY2024F FY2025F FY2026F FY2027F 2-3 Ton 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% Less Than 1 Ton 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 1-2 Ton 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% 50.00% India 1-2 Ton Small Commercial Vehicle Market Share, By Industry, By Volume, FY2017-FY2027F FY2017 FY2018 FY2019 FY2020 FY2021 FY2022E FY2023F FY2024F FY2025F FY2026F FY2027F FMCG 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% E-Commerce 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Electronics 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Pharma 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Construction 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Oil & Gas 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Agricultural 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Hospitality 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Forestry 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Others 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 14 Automotive © TechSci Research 14

Strategic Recommendation Report Name: INDIA SMALL COMMERCIAL VEHICLE MARKET FORECAST AND OPPORTUNITIES FY2017 – FY2027 License Type Price Single User License $3500 Multi-User License $4500 Custom Research License $7500 To View Sample OR Purchase Report 15 Automotive © TechSci Research 15

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