New Delhi, Apr 4 (IANS): The revival in commercial vehicles segment is likely to gain further strength going ahead, according to a report by ICICI Direct.

"We expect CV rebound to gain further strength going ahead, although ongoing semiconductor supply shortage remains an overall overhang in near term," it said.

It noted that in March, commercial vehicle space continued on its recent path of positivity, with all players reporting 20 per cent or higher MoM growth overall.

"Ashok Leyland's M&HCV volumes rose 42 per cent (trucks up 32 per cent, buses up 206 per cent) while Tata Motors' total CV sales rose 19.6 per cent. M&M outperformed with 86 per cent jump in volumes driven by 89 per cent rise in 4-W pickup i.e., lesser than 3.5T LCV segment. VECV sales rose by 29 per cent MoM."

It noted that the auto sector ended the year on a strong note amid generally healthy sequential increase in volumes across segments for most OEMs in March.