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How SUVs are riding the K-shaped path to recovery

Until employment and growth catch up with the rising costs of vehicle ownership, demand from rural and lower-income households would continue to remain muted, affecting demand for two wheelers, 3-wheelers and low end passenger vehicles.

May 13, 2022 / 08:36 AM IST
How SUVs are riding the K-shaped path to recovery

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Faced with headwinds for several years now, the Indian Auto sector has been stuck in the slow lane. What started off as lower demand and a regulatory burden escalated quickly with the pandemic as supply chain constraints, shortage of semiconductor chips, rallying crude and commodity costs, geopolitical conflicts, and rising interest rates were added to the mix. As per data released by FADA (Federation of Automobile Dealers Associations), automobile sales in April 2022 have come in 6 percent lower than...

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