Historic fall in India vehicles sales enters 11th month | WeForNews | Latest News, Blogs Historic fall in India vehicles sales enters 11th month – WeForNews | Latest News, Blogs
Connect with us

Auto

Historic fall in India vehicles sales enters 11th month

Besides, two-wheeler sales – often tracked to analyse the rural markets health – were also down 22.09 per cent.

Published

on

Auto sector slowdown

New Delhi, Oct 11 : Despite a 135 basis point interest rate cut since February and a number of measures announced by the Central government, including a sharp corporate tax cut, domestic vehicle sales plummeted for the 11th straight month in September.

Society of Indian Automobile Manufacturers (SIAM) data released on Friday showed that total commercial vehicle sales — a proxy for the economy’s commercial health — steeply fell by 39 per cent to 58,419 units in September.

Rating agency ICRA had, earlier this month, said its outlook on the domestic commercial vehicle sector was negative, considering the sharp correction in vehicle sales amid slowing economic growth, overcapacity and tight financing environment.

Signs that the customers were still away from showrooms was clearly visible in passenger vehicles sales data, which witnessed a decline of 23.69 per cent to 223,317 units this September.

Passenger cars sales witnessed de-growth of of 33.4 per cent to 131,281 units. In August, sales were down 41 per cent.

SIAM President, Rajan Wadhera, however, told reporters that the festive season retail sales that are monitored on a regular basis is “good” but avoided giving any sales forecast.

“The Navaratri sale has also been good and if we compare it to the sales from last year, the sale has been nearly 10-12 per cent better,” he said.

Wadera stressed that owing to number of government steps and ongoing festive season, the consumer sentiments have improved. Consumer confidence, the Reserve Bank of Indian showed, dipped to six-year low in September.

Besides, two-wheeler sales – often tracked to analyse the rural markets health – were also down 22.09 per cent.

Three-wheeler sales declined by 6.66 percent in April-September 2019 over the same period last year. Within three-wheelers, passenger carrier sales registered a de-growth of 6.37 percent and that of goods carriers declined by 7.98 percent in April-September 2019 over April-September 2018.

In the two-wheeler segment, sales registered a de-growth of 16.18 percent in April-September 2019 over April-September 2018 while in the segment, scooters, motorcycles and mopeds declined by 16.94 per cent, 15.24 per cent and 25.33 per cent, respectively, in April-September 2019 over the comparable period last year.

Overall domestic automobile sales fell 22.41 per cent in September 2019. In August, the sales data had showed that overall sectoral offtake in the domestic market had plunged 23.55 per cent.

This level of downturn was witnessed only once earlier, in December 2000, when the de-growth was registered at 21.81 per cent. The available data series commences from 1997-98.

However, exports across categories inched-up by 0.68 per cent to 417,232 units from 414,428 units shipped-out during September 2018.

The sales decline has forced several auto markers were forced to announce production cuts and slash workforce in order to cut losses.

Automobile production declined by (-)18.29 per cent in September to 2,406,640 units across segments and categories.

“There is a small element of positive performance, if one were to look at the volume growth, on a sequential basis across segments and this is coming out of some new introductions and discounts offered. But this is nowhere near the volumes seen in the previous year,” Grant Thornton India LLP Partner Sridhar V. told IANS.

Auto

No BS-IV vehicles will be registered if sold after March 31: Supreme Court

This comes as India has decided to switch to the world’s cleanest emissions standard from April 1. It has gone straight to Euro-VI emission standards from Euro-IV.

Published

on

By

BS IV

NEW DELHI : The Supreme Court on Wednesday observed that no BS-IV vehicles will be registered if sold after March 31, 2020.

A bench of the Apex Court, headed by Justice Arun Mishra was hearing the matter pertaining to sale of BS-IV vehicles during COVID-19 lockdown, via video conferencing.

The top court recalled its earlier March 27 order allowing sale of BS-IV vehicles for 10 days post lockdown. The apex court had back then allowed marginal relief to auto dealers and auto companies, permitting sale of 10% unsold BS-IV inventory.

Justice Arun Mishra said, “Please do not take advantage of this court by playing fraud. You have told us no sales have taken place. You are understating your values.”

He said, “no vehicle could be registered without our order.” “You have sold more than allowed,” the court noted.

KV Vishwanathan, lawyer for FADA, said, the apex court allowed registration in March 2020.

However, the Bench asked how vehicles were sold during lockdown.

“It would be violation of the spirit of the court order if we allow sales after opening of lockdown,” the Apex Court said.

This comes as India has decided to switch to the world’s cleanest emissions standard from April 1. It has gone straight to Euro-VI emission standards from Euro-IV.

Continue Reading

Auto

Tesla delivers over 90K vehicles in Q2 2020, stock up 9%

Tesla’s revenue in Q1 2020 reached $5.9 billion, an increase of nearly $1.5 billion a year ago. The company ended the quarter with $8.1 billion of cash.

Published

on

Tesla CEO Elon Musk

San Francisco, July 2 : Tesla stocks were up 9 per cent on Thursday after the electric car maker posted stronger-than-expected quarterly deliveries.

The Palo Alto-based company said it delivered 90,650 vehicles in the June quarter. It achieved the feat despite its Fremont, California based factory was out of action owing to Covid-19 lockdown for most part of the quarter.

Tesla delivered 80,050 Model 3s and Model Ys in the quarter and 10,600 of its Model S luxury sedan and Model X SUVs.

“In the second quarter, we produced over 82,000 vehicles and delivered approximately 90,650 vehicles,” Tesla said in a statement.

Tesla market cap was over $200 billion and its stock closed at a record $1,133.36 on Wednesday.

“While our main factory in Fremont was shut down for much of the quarter, we have successfully ramped production back to prior levels,” it added.

Tesla reopened its Fremont, California-based factory after a long fight with the local authorities as sheltering-at-home rules were in place in May.

The company posted a surprise profit of $16 million in the first quarter of 2020 despite temporary disruptions in productions due to COVID-19 restrictions.

Tesla’s revenue in Q1 2020 reached $5.9 billion, an increase of nearly $1.5 billion a year ago. The company ended the quarter with $8.1 billion of cash.

Continue Reading

Auto

Tesla shares surpass record $1,000 mark for first time

The truck is slated to cost around $150,000 for the 300-mile model and around $180,000 for the 500-mile model, said the report.

Published

on

By

Tesla CEO Elon Musk

San Francisco, June 10 : Electric car maker Tesla”s stock surpassed all-time high of $1,000 mark on Wednesday morning trades after its CEO Elon Musk said it was time to begin ”volume production” of its new commercial Semi truck.

Shares of the California-based Tesla were up nearly 7 per cent 6.8% in the morning trade.

Wedbush analyst Dan Ives said that demand in China for Model 3 is going stronger than expected.

“We believe that the China growth story is worth at least $300 per share to Tesla as this EV penetration is set to ramp significantly over the next 12 to 18 months,” Ives wrote in a note to clients.

According to Tesla”s website, Semi is powered by four independent motors and requires the “lowest energy cost per mile”.

The truck was first unveiled in 2017.

Tesla”s Nevada factory would likely produce the truck”s battery and powertrain, while the remaining work will be carried out in other locations around the country, according to a memo Musk sent to Tesla employees, TheStreet reported on Wednesday.

“It”s time to go all out and bring the Tesla Semi to volume production,” Musk was quoted as saying in the email.

“It”s been in limited production so far, which has allowed us to improve many aspects of the design.”

The truck is slated to cost around $150,000 for the 300-mile model and around $180,000 for the 500-mile model, said the report.

Continue Reading
Advertisement

Most Popular