Auto retail sales in November remains in the negative zone
Auto retail sales in the month of November continued to remain in the negative zone despite Diwali and it being the marriage season, Federation of Automobile Dealers Associations (FADA) data shows.
Total vehicle retails in November decreased by 2.70% on a YoY basis and in comparison with November 2019, the overall retails fell by almost 20%. “The unwanted rains in southern states further spoiled the party. Unless Rural India starts showing signs of strength, overall retails will continue nue to remain weak,” FADA president Vinkesh Gulati said.
2-wheelers, especially, showed weak momentum despite the festival season. While on a YoY level the 2-wheeler retails remained almost unchanged, in comparison with November 2019 (pre-Covid), it fell more than 20%. “Crop loss due to incessant rains and flood in southern states, high acquisition price as well as fuel costs kept the customers away. Further, there are no signs of an increase in inquiry levels which is a bigger cause of concern,” Gulati added.