Automobile sales dip sharply in December 2019, manufacturers say figures were expected
However, sales of Maruti Suzuki rose by 3.9% year-on-year in December.
Sales of several automobile manufacturers dipped sharply in December 2019 compared to the same month in December 2018, BloombergQuint reported on Wednesday.
Tata Motors reported a decline of 13.8% in December sales, compared to December 2018. While the automaker sold 54,439 units in December 2018, this declined to 46,903 units. Domestic vehicle sales fell by 12% to 44,254 vehicles in December, compared to 50,440 units in December 2018.
Honda Cars India Limited reported a decline of 36% in domestic sales, from 13,139 units in December 2018 to 8,412 in December 2019. Only 197 cars were exported.
However, the automobile manufacturer said the data was on expected lines. “In order to avoid any leftover BS-IV stocks, we channelised our resources more towards liquidating them,” Honda Cars Senior Vice President Rajesh Goel said.
Hyundai Motor India reported a decline of 9.9% in December sales, compared to the same month in December 2018. The company sold 50,135 units as against 55,638 units in December 2018. Domestic sales stood at 37,953 units as compared to 42,903 units in December 2018.
“The year 2019 has been challenging for the Indian automotive industry,” its director for sales, marketing and services Tarun Garg said according to PTI. “Even in such adverse conditions, Hyundai Motor India as committed has launched four new benchmark products in different segments.”
Sales of tractor maker Escorts Limited fell by 10% in December, to 4,114 units. Domestic sales fell 9.6% to 3,806 units while exports fell 20.2% to 308 units.
On the other hand, sales of Maruti Suzuki rose by 3.9% year-on-year in December. Total units sold stood at 133,296 units in December 2019, compared to 128,338 units in December 2018. Total export sales grew by 10.2% to 7,561 units.
The Indian automobile industry experienced its worst year in two decades in 2019, The Times of India reported quoting industry insiders. Sales of passenger vehicles fell below the three million mark for the first time since 2016.
“It had been a tough year, but now we look forward to the New Year with optimism,” Maruti Suzuki Director (Marketing and Sales) Shashank Srivastava told the daily. He said the automaker was able to hold on to its 50% markets share.
Rajesh Goel of Honda Cars said that the market has bottomed out for now, but it will take a few quarters to recover, at least till the festive period later this year.