SIAM lowers car sales growth forecast

SIAM lowers car sales growth forecast

 Industry body Society of India Automobile Manufacturers (SIAM) on Wednesday lowered its passenger car sales forecast for the current fiscal by 1-3 per cent from the 9-11 per cent, following a modest decline of 0.27 per cent during April-September, 2012 and persisting inflation and economic slowdown.

Passenger car sales during April-September 2012 stood at 9,09,972 units, down from 9,12,455 units during the same period last year. Sales of utility vehicles went up, from 1,64,209 units in April-September, 2011, to 2,55,895 units this year. Overall, vehicle sales at 86,94,152 units represented a 3.62 per cent growth during April-September, 2012 compared to 83,90,808 units last year.

Two-wheeler sales witnessed a growth of about 3 per cent to 67,79,219 units during April-September this year, from 65,74,338 units in the corresponding period last year. While motorcycles were down by 0.79 per cent at 49,70, 590 units, scooter sales were up 20 per cent at 14,22,047 units.

While motorcycle sales during the quarter under review marginally declined by 0.79 percent to 4,970,590 units. However, scooter sales had a growth of 20.46 percent to 1,422,047 units in the period under review.

The auto components sector recorded Rs 2.10 lakh crore sales in 2011-12, a growth of 15.7 per cent, but growth will be lower at 8-10 per cent this fiscal, according to ACMA's "Industry Performance Review". According to a statement by ACMA, though the medium and long-term prospects of the sector are intact, the growth will be lower due to impact of moderation in vehicle sales and depressed market sentiments.

Auto component exports in 2011-12 grew 32 per cent, from $5.2 billion in 2010-11, to $6.9 billion in 2011-12; Europe accounted for 36 per cent and Asia 28 per cent.
DH News Service