In the immediate aftermath of demonetisation -- often called a surgical strike on black money -- every performance parameter of India Inc was checked for trauma. Nearly 90 days after the cash ban came into effect, with remonetisation happening at a faster clip, automobile sales data in January throws some interesting insights.
Monthly automobile sales growth rate in India slipped to a 16-year-low in December with total vehicle sales declining by 18.66 per cent as demonetisation hits the industry hard.
The solid employment and wage gains added to robust automobile sales in painting an upbeat picture of the economy at the start of the fourth quarter.
According to CRISIL, in 2015-16, cars & UV sales are forecast to register stronger growth of 9-11 percent, driven by revival in economic growth and low inflation levels translating into a steady rise in disposable incomes.
India's largest passenger car maker Maruti Suzuki's sales dipped 14 percent in May, Tata Motors' sales were down 23 percent, Ashok Leyland's sales fell 16 percent and M&M reported a little over 1 percent decline.
Nirmal Bang has come out with its report on automobile sales. The research firm believes automobile sales in the near term will remain under pressure in the wake of recent fuel price hike.
Nirmal Bang has come out with its report on automobile sales.
Nirmal Bang has come out with its report on automobile sales. The research firm expects sales to remain weak across segments, given the slowing demand from rural areas. Two-wheeler sales have started moderating while demand for petrol cars remains weak due to high fuel prices.
Vivek Nayer, senior vice president -marketing, automotive division at M&M spoke to CNBC-TV18 about sales numbers for the company and the expectations of dealers and customers.
After a scorching pace of growth last year, automobile sales in India are slowing in the face of expensive auto loans and rising fuel prices. Toyota Kirloskar Motor expects sales could slowdown further, at least till August.
Automobile sales in the country could grow 15-17% in 2011-12 (April-March), though demand has been affected to a small extent, because of rising interest rates, Pawan Goenka, Mahindra & Mahindra’s president, automotive sector, said Tuesday.
The party continues for the auto industry with most auto majors reporting strong growth numbers in the first month of the new year. According to moneycontrol.com, automobile sales saw robust growth with most majors from the space posting significantly higher numbers.