"Petrol-EV hybrids are also making strides, thanks to self-charging technology that eliminates the need for external charging. However, their higher costs are keeping adoption rates modest compared to CNG models," Vyas added.Seeking lower costs of car ownership and better fuel efficiency, Gujarat's car buyers are veering into new lanes, with petrol vehicle sales slowing down and CNG emerging as a fuel of choice for buyers.
According to data released by the Union ministry of road transport and highways (MoRTH), petrol car sales across Gujarat dropped 12.9% in 2024 to 1.24 lakh units from 1.43 lakh units sold in 2023. On the other hand, CNG cars saw a marked 19.4% increase in sales from 98,870 to 1.18 lakh units during the same period.
Officials at the Road Transport Office (RTO) and car dealers attribute this trend to car owners' need for better fuel economy.
Jigar Vyas, CEO of a prominent city-based car dealership, remarked, "The flavour of the season is CNG-petrol variants. Nearly 72% of our car sales come from CNG variants and not the petrol counterparts of the same model. The trend is not just limited to small cars; even bigger models are seeing a shift towards CNG-petrol due to fuel efficiency and cost benefits. The price difference between a petrol model and a CNG-petrol model of a car is Rs 90,000 to Rs 1 lakh." "Petrol-EV hybrids are also making strides, thanks to self-charging technology that eliminates the need for external charging. However, their higher costs are keeping adoption rates modest compared to CNG models," Vyas added.
Interestingly, diesel car sales have gone up too, but it was largely driven by the upsurge in demand for SUVs. In 2024, 71,979 diesel cars were retailed in Gujarat, a steady rise of 5% compared to 68,483 in 2023.
"The appeal of diesel vehicles remains strong, particularly in the SUV segment. Improved mileage and the dominance of high-end SUVs in the diesel category are driving this trend," said a senior RTO official in Ahmedabad, requesting anonymity. Overall, better financing options, urban aspiration, and improved agricultural incomes have driven the sale of cars in Gujarat across categories.
