The economic downturn for the auto industry has continued for the fifth straight month. According to SIAM (Society of Indian Automobile Manufacturers) reports, the sale of passenger vehicles for the period April-July 2013 was 7,93, 708 units compared to 857, 977 units in the corresponding period last year, resulting in a decline of 7.49 per cent.
In the face of the decline, the industry too produced lesser number of cars. The total units produced in this period stands at 1, 011, 376 as against 1, 069, 579 units in the corresponding months last year resulting in a decline of 5.44 per cent. However, it is not all gloom and doom as exports rose from 187, 005 units to 191,483 units showing a growth of 2.39 per cent.
The overall commercial vehicles segment registered a decline of 9.91 per cent in April-July 2013 as compared to the same period last year. Medium and heavy commercial vehicles registered negative growth at (-) 16.65 per cent and Light Commercial Vehicles also dropped by (-) 6.11 per cent.
It is likely that this trend will continue at least till the end of the year. However, with many major launches slated towards the start of the festival season, many manufacturers will expect some respite during that period.
