Indian Car Manufacturers Facing Poor May Sales
According to Maruti-Suzuki India, car sales were down 5%, with 98,884 cars being sold, while Ford India sold only 6,036 cars in May, 14% fewer than in the same period of 2011. Tata Motors reported a sales increase of around 6%, with 20,503 vehicles sold so far in the year. The main reason for the decline in domestically-produced car sales is the lack of diesels in their range, as diesel is 40% cheaper than petrol in India and the demand for diesel cars has grown substantially as the general cost of fuel has increased.
With the Society of Automobile Manufacturers announcing a car sales growth figure for the new fiscal year, which will end in March 2013, of 10 to 12%, while demand for cars has also slowed considerably from last years 29%, way down to around 2.2% so far in the year.
Story via motoring.asiaone.com