The slowdown struck auto industry has recorded a sales decline of 6.20 per cent at the start of the year, selling 2,62,714 units of passenger vehicles (PV) in January 2020 as compared to 2,80,091 units which were sold a year ago. Sales of passenger cars went down by 8.10 per cent at 1,64,793 units as compared to 1,79,324 units sold in the same month last year. However, SUVs managed to sustain growth selling 84,929 units against 82,803 units a year ago, which is an uptick of 2.57 per cent. That said, the Vans segment continued to be under pressure recording a decline of 27.68 per cent at 12,992 units as compared to 17,964 units. PV sales in the April - January period went down by 15.38 per cent at 23,80,699 units as compared to 28,13,285 units.
While the prolonged downturn in sales is one of the major reasons of the de-growth, Society Of Indian Automobile Manufacturers (SIAM) says that even automakers have been correcting their inventories close to the BS6 deadline which has led to the decline in sales. That said, retail sales according to the Vahan data were too down by 3.48 per cent at 340,040 units in January 2020 as compared to 352,288 units sold in the same month last year.
Even two-wheelers sales witnessed a slump of 16.06 per cent at 13,41,005 units as compared to 15,97,528 units sold a year ago. Sales of three wheelers in the same period went up by 12.69 per cent at 60,903 units as compared to 54,043 units. In the same month commercial vehicles (CV) sales went down by 14.04 per cent selling 75,289 units as compared to 87,591 units.