Slump in auto sales continues for 8th straight month

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New Delhi, July 1 (IANS) Revival in auto sales seems to be in the waiting for now, as domestic sales declined for the eight consecutive month in June.

The decline in demand can be attributed to the rise in cost due to newly-implemented safety norms, along with a liquidity crunch and a delay in the monsoon.

Maruti Suzuki India on Monday reported a 14 per cent decline in total sales at 1,24,708 units in June against 1,44,981 units in the same month last year. Domestic sales during the month were down 15.3 per cent at 1,14,861 units last month compared to 1,35,662 units in June last year, the company said in a statement.

Tata Motors also reported a 14 per cent decline in its total domestic sales at 49,073 units in June. The company had sold a total of 56,773 units in the same month last year, Tata Motors said in a regulatory filing.

Its passenger vehicle sales in domestic market dropped by 27 per cent to 13,351 units, as compared with 18,213 units in June 2018 on weaker customer sentiments due to liquidity crunch, the company said.

Similarly, Mahindra and Mahindra reported a 6 per cent decline in total sales to 42,547 units in June. The company had sold 45,155 units in the corresponding month last year, M&M said in a statement.

Domestic sales of the company declined by 5 per cent in June on a year on year basis to 39,471 units.

Other companies also reported a dip in sales.

–IANS

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