NEW DELHI: New fashions and strong demand for SUVs helped automobile and SUV gross sales shrug off the post-GST blues and shut 2017-18 with wholesome numbers, though prime fuel prices and rising rates of interest threaten to dampen the momentum in the new fiscal.
Top carmakers similar to Maruti Suzuki, Hyundai, Mahindra and Tata Motors reported a enlargement in demand in 2016-17, even if Toyota and Ford failed to stay tempo and slipped by way of around 2%.
The fashions that fueled the demand integrated by way of new ones as Maruti’s new Swift and Brezza mini SUV, Hyundai’s Verna and Tata Motor’s Nexon.
Companies say that the going is also difficult in 2018-19 as some negatives have been build up during the last few months. “The industry is on a favorable on the strength of macro-economic factors, backed by way of stability in policies,” Rakesh Srivastava, Director (Sales & Marketing) at Hyundai India said. “However, hardening of rates of interest and build up in fuel prices may just challenge the expansion fee, particularly in the entry section where cost of acquisition and price of operations are key factors for patrons.”
Companies have also been complaining in regards to the GST charges on vehicles, and say that these should be diminished to push demand. “There are headwinds in terms of drawing close build up in rates of interest, crude prices, and inflation,” Ford India MD Anurag Mehrotra said.
Maruti has been growing strongly and has higher its proportion out there as the corporate expands its fashion line-up and retail presence. The company is getting new automobiles as father or mother Suzuki is ramping up at its Gujarat factory premises where it is also investing for additional manufacturing lines.
Tata Motors has grown by way of 22% in the 12 months, led by way of new fashions in addition to a low base. New vehicles by way of the corporate similar to Nexon, Hexa and Tigor have blended well with the Tiago compact, even as the corporate now prepares to drive in two new SUVs that it had showcased at the Auto Expo previous this 12 months.
On the two-wheeler facet, Hero Moto grew by way of 14%, which was once also aided by way of export volumes. The company’s rival Honda Motorcycle and Scooter India (HMSI) managed an even faster, 22%, enlargement in volumes which stood at 5.7 million units.
Top carmakers similar to Maruti Suzuki, Hyundai, Mahindra and Tata Motors reported a enlargement in demand in 2016-17, even if Toyota and Ford failed to stay tempo and slipped by way of around 2%.
The fashions that fueled the demand integrated by way of new ones as Maruti’s new Swift and Brezza mini SUV, Hyundai’s Verna and Tata Motor’s Nexon.
Companies say that the going is also difficult in 2018-19 as some negatives have been build up during the last few months. “The industry is on a favorable on the strength of macro-economic factors, backed by way of stability in policies,” Rakesh Srivastava, Director (Sales & Marketing) at Hyundai India said. “However, hardening of rates of interest and build up in fuel prices may just challenge the expansion fee, particularly in the entry section where cost of acquisition and price of operations are key factors for patrons.”
Companies have also been complaining in regards to the GST charges on vehicles, and say that these should be diminished to push demand. “There are headwinds in terms of drawing close build up in rates of interest, crude prices, and inflation,” Ford India MD Anurag Mehrotra said.
Maruti has been growing strongly and has higher its proportion out there as the corporate expands its fashion line-up and retail presence. The company is getting new automobiles as father or mother Suzuki is ramping up at its Gujarat factory premises where it is also investing for additional manufacturing lines.
Tata Motors has grown by way of 22% in the 12 months, led by way of new fashions in addition to a low base. New vehicles by way of the corporate similar to Nexon, Hexa and Tigor have blended well with the Tiago compact, even as the corporate now prepares to drive in two new SUVs that it had showcased at the Auto Expo previous this 12 months.
On the two-wheeler facet, Hero Moto grew by way of 14%, which was once also aided by way of export volumes. The company’s rival Honda Motorcycle and Scooter India (HMSI) managed an even faster, 22%, enlargement in volumes which stood at 5.7 million units.
Car, SUV sales shrug off GST blues in FY18, but companies remain cautious
![Car, SUV sales shrug off GST blues in FY18, but companies remain cautious]()
Reviewed by Kailash
on
April 03, 2018
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