Technology

Pandemic boosts Indian passenger car sales to the lowest level in six years

Due to the coronavirus pandemic, Indian passenger car sales were the lowest in six years. Annual data from the automotive industry group was presented on Monday to prepare for a further decline in cases due to the recent surge. India overtook Brazil to become the second most affected country in the world on Monday, with a surge in daily COVID-19 infections and an estimated less than 4% of the 1.4 billion population vaccinated. ..

India’s automotive sector has already faced a “serious structural slowdown” even before the pandemic, which, combined with this, has pushed down sales for many years. Kenichi Ayukawa, President Indian Automobile Manufacturers Association (SIAM) said. “Recovery from here requires time and effort by all stakeholders,” he said.

, India’s largest automobile manufacturer in terms of sales.

Passenger car sales decreased 2.24% to 2.71 million units in the fiscal year ended March 2021, including Ford Motor Co., Ltd. Volkswagen According to SIAM data, domestic rival Maruti, which sells one in two cars in India, fell by more than 20%, compared to 8.5%.

This was offset by increased sales from new entrants, including: Kia SAIC Motor’s British brand MG Motors and its local rival Tata Motors. Data show that truck sales, a barometer of economic activity, fell 21% to the lowest level in 11 years, while motorcycle and scooter sales fell 13% to the lowest level in seven years.

Ayukawa said the automotive industry is working to maximize production and sales, but supply chain disruptions and a second wave of infections make it difficult to predict the future.In some states like MaharashtraThe government, home to the financial capital Mumbai and one of India’s largest car manufacturing hubs, has already imposed curfew and other restrictions to curb the spread of the virus.

As in 2020, concerns about a complete blockade are plagued by investors.Nifty Auto Index [.NIFTYAUTO] It fell 5.11% on Monday, but the wider market [.NSEI] Finished 3.5% lower. Tata Motors shares fell 10%, while Mahindra & Mahindra and Maruti Suzuki both fell about 5%.

Prior to the second wave, sales in the automobile sector were recovering, despite issues such as a shortage of semiconductors and soaring raw material costs. According to SIAM data, domestic passenger car sales in March exceeded 290,000 from 281,000 in February and 276,000 in January.

https://economictimes.indiatimes.com/industry/auto/auto-news/pandemic-pushes-indias-passenger-vehicle-sales-to-six-year-low/articleshow/82034573.cms Pandemic boosts Indian passenger car sales to the lowest level in six years

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