2013 One Of Those Bad Years For Auto Industry

Published: Wednesday, June 12, 2013, 11:01 [IST]

This year did not start on a positive note for the Indian auto industry. The slow growth was further impacted by the price hikes, a direct result of the increase in duty initiated by the union budget. Fuel price fluctuations haven't helped either. Over the last few months we are seeing several automakers provide various incentives and discounts to customers in a bid to give the relatively stagnant inventory a push. The latest hurdle to the growth of the local auto industry is the depreciating value of the Indian rupees against US dollar. This is expected to make imported products dearer. Luxury automobiles from Mercedes, Audi and BMW are expected to cost Rs 25,000 to Rs 30,000 more in the coming months. Below are the statistics provided by SIAM.

Press Release

Auto Industry Declines for Four Successive Months

Production
The industry produced 1,737,548 vehicles in May 2013 as against 1,811,515 in May 2012, decline of (-) 4.08 percent over the same month last year.

Domestic Sales
The overall domestic sales during April-May 2013 declined by (-) 0.64 percent over the same period last year.

The overall sales in Passenger Vehicles declined by (-) 8.56 percent during April-May 2013 over the same period last year. Within the Passenger Vehicles, passenger cars and vans dropped by (-) 11.33 percent and (-) 10.88 percent respectively, while utility vehicles grew marginally by 4.08 percent during April-May 2013 compared to the same period last year.

The overall Commercial Vehicles segment registered de-growth of (-) 5.20 percent in April-May 2013 as compared to the same period last year. Medium & Heavy Commercial Vehicles (M&HCVs) registered negative growth at (-) 12.11 percent and Light Commercial Vehicles also dropped by (-) 1.36 percent.

Three Wheelers sales recorded marginal growth of 1.47 percent in April-May 2013 over the same period last year. Passenger Carriers and Goods Carriers grew by 1.48 percent and 1.44 percent respectively in April-May 2013 over April-May 2012.

Two Wheelers registered marginal growth of 1.04 percent during April-May 2013 over April-May 2012. Within the Two Wheelers mopeds and motorcycles declined by (-) 11.45 percent and (-) 1.38 percent respectively, while scooters grew by 13.88 percent in April-May 2013 over April-May 2012.

Exports
During April-May 2013 overall automobile exports declined by (-) 8.62 percent. Passenger Vehicles and Three Wheelers grew by 7.34 percent 26.53 percent respectively, while Commercial Vehicles and Two Wheelers dropped significantly by (-) 19.62 and (-) 16.50 percent respectively in April-May 2013 over April-May 2012.

Article Published On: Wednesday, June 12, 2013, 11:01 [IST]

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