Auto Sector Update - Lockdown Hurts Volumes Across Segments In May: Motilal Oswal
Vehicles travel along a highway in an aerial photograph taken in Delhi. (Photographer: Anindito Mukherjee/Bloomberg)

Auto Sector Update - Lockdown Hurts Volumes Across Segments In May: Motilal Oswal

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Passenger vehicles, commercial vehicles, and tractors May 2021 sales were above our expectations, while two-wheelers were in line with our estimate.

Wholesales were impacted by localized lockdowns across states and supply-side issues. Demand is expected to recover as restrictions are lifted.

While dealers are hopeful of a sharp recovery in demand for passenger vehicles, commercial vehicles, and tractors, customer behavior after the lifting of lockdown restrictions is a key monitorable.

Two-wheeler/passenger vehicle/medium and heavy commercial vehicle/light commercial vehicle/tractor volumes declined by 34%/35%/47%/40%/down 1.5% compound annual growth rate (versus May 2019).

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Motilal Oswal Auto Sector Update June.pdf

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