Running out of gas?

Auto industry lobby group Society of Indian Automobile Manufacturers (Siam) said on Monday it expects demand to come under pressure in the second half of the fiscal year as the cost of automobile ownership is expected to rise between 3% and 5% due to rising fuel costs. Siam highlighted a slowdown in economic growth, frequent policy changes and higher commodity prices as key concerns. Issues related to the transition to the goods and services tax is also hindering a full recovery, it said. Sales of passenger vehicles rose 11.32% to 309,955 units in September, the slowest pace since July, when sales grew 15.12%.