New Delhi, 15 September (IANS). According to data released on Monday by the Society of Indian Automobile Manufacturers (SIAM), there have been opposite trends in the Indian automobile industry in August. Customers are waiting for the benefits of GST reform to be implemented from 22 September, due to which the sales of passenger vehicles have declined.
Wholesale sales of passenger vehicles fell 8.8 percent to 3,21,840 units in August this year, while in August 2024 it was recorded at 3,52,921 units.
However, meanwhile, the area of two -wheeler and three -wheelers continued to grow continuously last month.
SIAM Director General Rajesh Menon said that sales declined due to the discharge of purchases by customers in the hope of cutting GST rates and then in the price of vehicles.
In contrast, there was a continuous increase in the two -wheeler market. The dispatch increased by 7 percent from 17,11,662 units to 18,33,921 units a year ago. Scooter sales in this segment increased by 13 percent to 6,83,397 units, while the motorcycle dispatch increased by 4 percent to 11,06,638 units.
The three -wheeler was the strongest performing category, which recorded the highest sales of 75,759 units of its ever in August, which is 8.3 percent higher than the 69,962 units of the same month of the previous year. This increase was mainly due to passenger and cargo vehicles.
However, the sales of e-rickshaws in this segment declined by 49.4 percent to 1,344 units, while e-Cart sales increased by 362.9 percent to 810 units.
Industry stakeholders hope that the speed of sales will improve with the implementation of GST 2.0. Petrol and diesel cars with engine capacity up to 1,200 cc and 1,500 cc will cost 18 percent GST, while large vehicles will be taxed at the rate of 40 percent.
Tata Motors, Mahindra & Mahindra, Hyundai and other major vehicle manufacturers have announced the full benefit of this tax to the customers.
Meanwhile, the total production of passenger vehicles, three -wheelers and quadricycles remained stable during August, due to the upcoming festive season and GST rationalization.
-IANS
SKT/
