Vehicle registrations fall sharply in April

• JB Securities analysis reveals total vehicle registrations declined to 51,156 in April from 59,734 in March
• Three-wheelers, passenger cars and trucks record steep contractions
• EV registrations ease, though electric two-wheelers remain resilient
• Large tractor registrations among few segments to post growth

Sri Lanka’s vehicle market slowed sharply in April, with total registrations declining to 51,156 units from 59,734 units in March, according to the latest analysis by JB Securities. 

The brokerage said the contraction was broad-based across almost all vehicle categories, with the decline in three-wheeler registrations making the largest contribution to the overall slowdown. 

Motor car registrations fell to 3,238 units in April from 4,856 units in March, while brand-new car registrations more than halved to 467 units from 1,432 units. The decline was particularly evident in electric vehicle (EV) brands, with BYD registrations in the motor car segment dropping to 29 units from 807 units in March. JB Securities said small cars continued to dominate the market, accounting for around 95% of total volumes. 

Pre-owned car registrations also declined to 2,771 units from 3,424 units, with Suzuki leading the segment, followed by Toyota and Daihatsu. Financing penetration in the pre-owned car segment stood at 48.4%. 

Sports Utility Vehicle (SUV) and crossover registrations eased to 4,853 units in April from 5,841 units in March. Toyota led the segment with 1,725 units, driven mainly by the Raize, Urban Cruiser, and Yaris Cross models. Honda followed with 906 units, almost entirely from the Vezel, while Suzuki recorded 688 units, largely attributable to the Fronx. 

Hybrid vehicle registrations declined marginally to 2,316 units from 2,512 units, with SUVs accounting for the bulk of volumes. Honda and Toyota remained the dominant brands in the hybrid segment. 

EV registrations fell to 8,098 units in April from 8,805 units in March, although electric two-wheelers remained resilient, recording 7,452 units compared to 7,195 units in March. Electric van registrations declined to 568 units from 784 units, while EV three-wheelers fell to 102 units from 186 units. 

Three-wheeler registrations recorded one of the steepest declines during the month, falling to 1,355 units from 4,031 units in March. Bajaj passenger three-wheelers dropped sharply to 510 units from 3,039 units, while TVS registrations declined to 534 units from 668 units. 

Two-wheeler registrations also weakened, declining to 38,631 units in April from 41,121 units in March. Bajaj remained the market leader with 9,924 units, followed by TVS with 8,600 units and Honda with 5,117 units. EVs accounted for 19.3% of total two-wheeler registrations, up significantly from 8.4% three months earlier. 

Commercial vehicle categories also recorded declines. Pick-up truck registrations fell to 455 units from 606 units, while light truck registrations nearly halved to 179 units from 348 units. Medium truck registrations declined to 172 units from 394 units, and heavy truck registrations eased to 222 units from 303 units. Bus registrations also declined to 222 units from 263 units in March. 

Large tractor registrations were among the few categories to record growth during the month, rising to 686 units from 470 units in March. TAFE led the segment with 255 units, followed by Mahindra and Kubota. Financing penetration in the segment remained high at 91%. 

JB Securities also noted a decline in imports across key source markets. Japanese vehicle imports fell to 6,151 units from 7,508 units, while Indian vehicle imports declined to 27,165 units from 33,018 units. Chinese vehicle imports eased marginally to 8,515 units from 8,831 units, although electric two-wheelers continued to dominate Chinese-origin volumes.