MG Motor India – the British brand owned by China’s SAIC – has sold out the first batch of SUV Astor within 20 mins of opening booking Thursday.
Deliveries for the vehicles will commence from 1st November 2021. The carmaker aims to deliver 5000 units within this year.
Rajeev Chaba, President and MD, MG Motor India, said, “We are ecstatic about the response we have received from the customers. However, given the global chip crisis that the industry is undergoing, we can only supply a limited number of cars this year. We expect supplies to become better from Q1 next year.”
MG Motor India launched midsize SUV Astor earlier this months with prices tagged between Rs 9.78-16.78 lakh (ex-showroom) to take on the likes of Hyundai Creta, Kia Seltos and Skoda Kushaq.
Around 27,000 vehicles are sold in the midsize SUV segment every month. The segment has grown by 42% so far this year. Currently, Hyundai Creta currently dominates the category with a market share of about 42%.
Once the supply of semi-conductors improve in the first quarter of the next calendar year, MG Motor India expects deliveries to gain momentum. The company is looking at doubling sales volumes to 7000-8000 units per month next year, on back of the new launch.
The company is operating at 50-60% of potential capacity currently due to the shortage of semiconductors.
MG Motor though will go ahead with its plans to scale up investments to expand capacity at its manufacturing facility at Halol in Gujarat to attain sales of 80,000-100,000 units in 2022. The company is working at achieving its target to sell about 50,000 units this year, but said it is “challenging” in the current supply environment.
MG Motor India sold 28,162 vehicles in India in 2020, accounting for a 1.2% market share, outselling Volkswagen, Skoda, Nissan and FCA which have been present in this market for over a decade.
On the positive side, Chaba said the demand momentum remains strong. The company has a strong order with waiting period of 8-16 weeks across its range of products.Internet Explorer Channel Network