Toyota beats Tata Motors to become India’s fourth largest passenger vehicle maker

Toyota Kirloskar Motor has left behind Tata Motors in the battle of new launches in May 2016, thus becoming the fourth largest passenger vehicle maker in the country.

Toyota’s newly launched multi-purpose vehicle (MPV) Innova Crysta could be cited as the reason behind this surge in its sales. The car maker sold 12,614 units of Innova Crysta last month, which is 9.6% higher than the number of units sold in May last year (11,511).

On the other hand, Tata Motors sold 26.7% lesser cars in May, selling 9,456 units and falling below the 10,000-unit mark. This, despite the launch of Tiago in April.

"Toyota has been able to do well because of the new generation Innova Crysta. It is definitely an achievement as despite the ban on big diesel vehicle, Innova Crysta has been able to perform so well," Puneet Gupta, associate director, South Asia automotive sales forecast & advisory, IHS Automotive, told ET.

"They have been able to improve the product which has helped it carry the good name made by the previous generation Innova."

Innova Crysta was launched on May 2 at a price of Rs 13.83 lakh ex-showroom Mumbai, being the first major upgrade that Innova got in over a decade of Toyotas India stint.

Tata Tiago, which was expected to revive Tata Motors’ fortune in the passenger vehicle segment is in fact losing the market share.

"Yes, there was a good euphoria around Tiago before the launch. But it has to be understood that Tata is coming back after a good long break as they didn't have any big launch. So, Tata is at a stage where they are trying to build momentum which has started a bit with Tiago but it will take some time," said Gupta.

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