Slowdown impact Sales fell for eight consecutive months to June 2013 because of low demand. Buyers postponed purchases due to rising interest on loans, inflation and rising cost of fuel. Car sales dropped from 2.42 lakh units in January 2013 to 1.86 lakh units in July.
Job impact 2,500 to 3,000 contract jobs lost as M& M, Tata Motors, Ashok Leyland and Maruti Suzuki laid off staff. For every auto job lost, at least three ancillary workers lose their jobs.
Revival kit Lower interest rates, control inflation to boost spend.