Use of cabs by young hitting car sales: FM
Chennai: It’s not just macro factors alone that are weighing on automobile sales, but changing consumer behaviour by millennials too is affecting the sector, finance minister Nirmala Sitharaman said on Tuesday.
“There are multiple factors impacting slowdown. Some buyers want to wait for BS-VI. We also understand that millennials don’t want to lock themselves up with EMIs on auto loans and hence prefer Ola or Uber or metro (trains). We are listening to everyone,” Sitharaman said at a news conference to list out the government’s achievements in the first 100 days of its second term.
While the government has announced some measures aimed at checking falling sales, auto companies have been demanding a reduction in GST, which is as high as 43% for some of the vehicles.