That interprets to about Rs 1,800-2,000 crore in misplaced gross sales alternative, the scores company stated.
ET was the primary to report final month that the Indian automotive market might lose 500,000-600,000 models in gross sales as a result of provide chain woes scarcity.
If not for the availability chain points, the trade would have this 12 months crossed its earlier peak annual gross sales of three.4 million models seen in FY19. ICRA has now revised its gross sales forecast for FY22 downward to 8-11%, which interprets to round 3 million models.
The semiconductor disaster peaked in September, when an estimated 120,000 models gross sales was misplaced, as per a presentation from ICRA. Whereas the availability scenario is anticipated to enhance going ahead, regular provides are solely anticipated in the direction of finish of 2022.
As a result of scarcity of semiconductors, ready intervals for among the widespread automotive fashions have gone as much as so long as 12 months. Automakers have been pressured to launch variants of their fashions with fewer options, thus decreasing the semiconductor content material per automotive and thus slicing the ready intervals.
Whereas a provide scarcity has made the company revise its progress forecast for the passenger autos market, it was a requirement concern when it got here to two-wheelers. ICRA now expects the two-wheeler market to shrink by 1-4% in FY22 from an earlier low single-digit progress forecast.
This has been primarily resulting from sharp enhance in costs of two-wheelers over the previous two-three years on account of a number of regulatory modifications and elevated enter prices. Larger gas costs additional deter shoppers.
ICRA’s progress forecasts for the business autos and tractor segments stay the identical at 18-22% and 1-4%, respectively.