BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM To Supreme Court: Details

The Federation of Automobile Dealers Associations (FADA) and the Society of Indian Automobile Manufacturers (SIAM) have filed petitions with the Supreme Court of India asking for an extension on sales of BS4 vehicles. The BS4 vehicles sales deadline is currently set at March 31, however, both the governing bodies have asked for an extension amidst the Coronavirus situation.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

The BS6 emission norms will be made mandatory from April 1, 2020. This means no BS4 vehicles can be registered starting April 1. A majority of auto manufacturers have planned well and have introduced their BS6 vehicles in the Indian market way in advance.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

However, the shift from BS4 to BS6 has not been easy with the automotive slowdown and the threat of Coronavirus (COVID-19). The dealers are concerned that all BS4 vehicles in stock will be rendered meaningless after the deadline.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

In response to this, the Society of Indian Automobile Manufacturers (SIAM) has filed a petition asking for permission to continue sales and registration of BS4 vehicles until, and after March 31. The petition states that some State Governments are refusing applications for registration of BS4 vehicles starting February 26.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

The petition from Federation of Automobile Dealers Associations (FADA) pleads for an extension of the BS4 deadline until May 31. The dealers are reporting poor sales due to the automotive slow down and the recent outbreak of Coronavirus.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

The current situation and the sudden outbreak of the virus have caused some serious trouble for the Auto Industry in the country. This could seriously affect the Auto Industry's transition to BS6. The Indian government has also asked auto showrooms and manufacturing plants to suspend operations in order to contain the virus from spreading.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

We expect a serious drop in sales, and we expect a reduction in new vehicle stocks over the next few weeks. This could lead to longer waiting periods for new vehicles. All the major automotive events have also been called-off.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

In related news, the Volkswagen group has suspended its European operations until further notice. Production facilities at Germany, Spain, Portugal, and Slovakia will be suspended this week — here are all the details.

BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM With Supreme Court: Details

Thoughts About The BS4 Vehicle Sales Extension Plea Filed By FADA & SIAM

With the worldwide pandemic announced due to Coronavirus, businesses will get affected. However, with any unsold vehicles becoming meaningless dealers are looking for an extension on the deadline and hoping for some relief from the government. We are two weeks away from the deadline for registration of BS4 vehicles in India, and what remains to be seen is whether the Indian government will accept the plea to move the deadline. In either case the long term economic consequences cannot be ignored.

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Read more on: #auto news
Article Published On: Wednesday, March 18, 2020, 21:58 [IST]
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