Auto Sales Fall 30% In April On Fresh Covid-19 Curbs Amid Second Wave: SIAM
Domestic wholesales of passenger vehicles fell 10% month-on-month to 2.61 lakh units in April.
India’s automakers shipped fewer vehicles than the preceding month as a renewed surge in coronavirus cases led to fresh curbs across the country.
Domestic wholesales of passenger vehicles, which include cars and utility vehicles, fell 10% month-on-month to 2.61 lakh units in April, according to data released by the Society of Indian Automobile Manufacturers.
SIAM sales data highlights for April (month-on-month)
- Car sales fell 10% to 1.41 lakh units.
- Wholesales of utility vehicles fell 11% to 1.08 lakh units.
- Scooter sales tumbled 34.3% to 3 lakh units.
- Motorcycle sales slumped 32.8% to 6.67 lakh units.
- Total two-wheeler sales fell 33.5% to 9.95 lakh units.
- Three-wheeler sales plunged 57% to 13,728 units.
Overall, sales for the entire auto industry slumped 30% over the preceding month in April.
Volumes are not comparable with a year earlier as the nation was under a complete lockdown that shut dealerships and stalled production, causing a sales washout.
Since then up until March, sales gradually recovered as the economy rebounded quicker than expected from the nationwide stay-at-home curbs. Demand for personal mobility also rose amid fears of contracting the virus. But the second Covid-19 wave stalled the nascent recovery.
Hero MotoCorp Ltd., India’s largest two-wheeler maker, in April said it would temporarily suspend manufacturing at all its plants due to a rapid rise in coronavirus cases. Later, it extended the shutdown twice, first till May 10 and then again until May 16. Maruti Suzuki India Ltd., the nation’s biggest carmaker, too, announced a nine-day plant shutdown till May 9, and then extended it until May 16.
“The Covid-19 wave has impacted the sales of vehicles in April due to various restrictions in states which have been experiencing a surge in cases,” Rajesh Menon, director general at SIAM, said in the statement. “Supply chain-related production challenges continue with the lockdown restrictions in many parts of the country. Demand impacted both in terms of low consumer sentiments and closure of dealerships.”