Auto sales down for 11 months in a row, FM prom­ises more steps

The Times of India (New Delhi edition) - - Times Global - TIMES NEWS NET­WORK

New Delhi/Pune: The pain of auto sec­tor con­tin­ued for the eleventh straight month, de­spite the on­set of fes­ti­val sea­son as over­all sales de­clined 22.4%, heap­ing more pres­sure on the sec­tor reel­ing from im­pact of a de­mand slow­down.

The auto in­dus­try, how­ever, said there were early signs of some im­prove­ment and the full fes­ti­val sea­son along with dis­counts and mea­sures an­nounced by the gov­ern­ment will help im­prove sen­ti­ment in the sec­tor.

In Pune, fi­nance min­is­ter Nir­mala Sithara­man ac­knowl­edged the slow­down and Change (%) in sales in Sept 2019 over Sept 2018

Cars

SUVs

Comm Ve­hi­cles

Scoot­ers

Mo­tor­cy­cles

To­tal Do­mes­tic

Ex­ports

said the gov­ern­ment, if needed, would un­veil more mea­sures to help the auto sec­tor.

“I have been in­ter­act­ing with auto sec­tor (rep­re­sen­ta­tives) from all over the coun­try... Most of their sug­ges­tions have been re­sponded to and if there are any more, they are al­ways wel­come to tell me. Con­sumer de­mand has not re­vived in the au­to­mo­bile sec­tor. If the sec­tor wants some­thing, the rep­re­sen­ta­tives can al­ways reach out to me,” FM told re­porters.

Septem­ber wit­nessed mo­tor­cy­cles sales de­clin­ing to the low­est-ever level in over two decades, while com­mer­cial ve­hi­cle sales also dropped the worst since Jan­uary 2009. Mo­tor­cy­cle sales in Septem­ber de­clined 23.3% to 10.4 lakh units as against 13.6 lakh units a year ear­lier. To­tal twowheeler sales in Septem­ber de­clined 22.1% to 16.6 lakh units com­pared to 21.3 lakh units in the year-ago month.

Sales of com­mer­cial ve­hi­cles were down over 39% to 58,419 units in Septem­ber com­pared with 95,870 units in the same pe­riod of last year, the data showed.

SIAM Pres­i­dent Ra­jan Wadehra said the worst may be over for the sec­tor as the in­dus­try has wit­nessed higher foot­falls and greater sales con­ver­sion in re­cent days. He added that all in­di­ca­tors pointed out to­wards sales pick­ing up even in the ru­ral ar­eas as bumper crop is ex­pected in re­gions which were not im­pacted by the floods this mon­soon. “We are very hope­ful that things will im­prove from here on,” he said.

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