CNG car sales have been steadily increasing in the first half of 2024. The rising demand comes from both personal and commercial vehicle users looking for economical fuel choices.
Drivers increasingly opt for CNG because it is more affordable than traditional petrol and diesel fuels. CNG is a carbon-based fuel with significantly lower carbon content than petrol or diesel. Thus, this makes it a greener choice for vehicle owners.
Analysis of retail sales data reveals that CNG-powered passenger vehicles experienced a significant Y-o-Y growth of 49 percent in the first half of this year, reaching 2,42,289 units (compared to 1,62,585 units in H1 2023).
India currently has only four car manufacturers producing CNG vehicles, collectively offering 25 different models for sale. Let’s evaluate their market position in this segment.
| Manufacturer | H1 2023 | H1 2024 | Change (%) |
|---|---|---|---|
| Maruti Suzuki | 1,18,903 | 1,59,031 | 34 |
| Tata | 16,940 | 54,545 | 222 |
| Hyundai | 23,348 | 24,427 | 5 |
| Toyota | 2,852 | 4,009 | 41 |
| Total | 1,62,043 | 2,42,012 | 49 |
Maruti Suzuki
From January to June 2024, Maruti Suzuki sold 1,59,031 units. It is 34 percent higher than the sales during the same period in 2023 (1,18,903 units). These sales account for 57 percent of Maruti Suzuki’s total sales in the calendar year 2023.
Maruti Suzuki currently dominates the CNG market with a 74 percent share. The automaker strengthened its position by changing consumer preferences since it stopped selling diesel cars in April 2020.
Maruti Suzuki offers a lineup of 13 models in the CNG segment. It includes cars like Alto K10, Baleno, Brezza, Swift, Celerio, Ertiga, Grand Vitara, Wagon R, XL6, and the Fronx. This wide range highlights Maruti Suzuki’s robust market presence and diverse product offerings in this segment.
Tata Motors
In CY2023, Tata Motors sold 63,993 CNG passenger vehicles. In the first half of 2024, they sold 54,545 units, showing a significant 222% increase from the 16,940 units sold in 2023. Tata Motors now holds a CNG market share of 22.51 percent, which is more than twice the 10.41% share they had in the first half of 2023.
In January 2022, Tata Motors started selling CNG cars in India with the Tiago hatchback and Tigor sedan. Also, they introduced new CNG versions of Altroz in 2023 and Tata Punch CNG in response to Hyundai Exter CNG.
In February 2024, Tata Motors introduced the Tiago and Tigor CNG models with automated manual transmission (AMT). Now, they have announced plans to launch the Nexon iCNG, showcased at the Bharat Mobility Expo in January, within this financial year.
Hyundai
Hyundai Motor India sold 24,427 units of its Aura, Grand i10 Nios, and Exter models. It is a 5 percent increase from the previous year’s sales of 23,348 units. In CY23, Hyundai sold a total of 50,108 units of these models.
Toyota:
Toyota now offers four CNG cars in India, including the Taisor, Glanza hatchback, Urban Cruiser Hyryder SUV, and Rumion MPV. In the first half of 2023, Toyota sold 2,852 CNG models (6,553 units in 2023). In H1 2024, they sold 4,009 units, marking a 49 percent increase compared to the previous year.
Wrapping Up
Overall, more people are choosing CNG vehicles because they are cheaper than petrol and diesel, which have become more expensive. As of July 4, 2024, CNG costs Rs 73.50 per kg, diesel costs Rs 89.97 per litre and petrol Rs 103.44 per litre in Mumbai.
