The Federation of Automobile Dealers Associations (FADA) in its monthly vehicle registration data for September 2019, have revealed that auto registration continued to fall and it continued to reflect the weakness in customer sentiment even at the onset of the festive season. On a year on year basis, overall vehicle registrations fell by 12.9 per cent. Registrations for two-wheelers were down by 12.1 per cent. The passenger vehicle inventory rose marginally but the two wheeler inventory continues to be high.
As far as commercial vehicles are concerned, registrations were down by 18.5 per cent while the passenger vehicle registrations went down by 20.1 percent. It's the three-wheeler market though that saw a marginal growth of 1.8 per cent.
Ashish Kale said, FADA President said, "The Auto Industry Retails were under pressure during the month and the de-growth was on expected lines. The complete effects of the positive measures announced by the government was still not visible at the retail levels in the month of September."
October 2019 then, will be a crucial month which will indicate the trends for the second half of this year. However, high inventory concerns which started with the previous festive season still continue to be a problematic area for the auto dealer fraternity. With retails expected to be high in October, the month promises to give a boost to the industry before it makes the transition to BS6.