From an average of about 1,800 units a month in 2010-11, Fiat sales dropped to about 900 units a month in the first four months of this financial year, according to data from the Society of Indian Automobile Manufacturers.
While the share of diesel vehicles sales in the overall passenger car industry has already fallen sharply, sales of CNG vehicles have shown a compound annual growth rate of 15.5 per cent over the past five years.
Stocks of Indian companies with exposure to Europe fell on Tuesday amid concerns about the impact on their sales in case the Russia-Ukraine crisis worsens and the US and its allies impose economic sanctions on Russia. While top conglomerates, including Reliance Industries, the Tata group, and Aditya Birla Group, said they did not have any significant exposure to Russia, executives of some of the oil and gas, pharmaceutical, and tea companies said they were monitoring the situation closely as they earned substantial income from the region. Russian President Vladimir Putin on Monday ordered troops into two breakaway regions of eastern Ukraine after announcing that Russia would recognise their independence.
June indicates a change in trend from previous quarters in terms of how much companies are spending on employees. The worst hit sectors included steel, air transport service and automobile firms.
Moody's expects tax to be lower than the multitude of taxes such as sales tax, excise duties, local taxes, and value-added taxes the automobile sector currently pays
The central bank's currency management will be critical over the next few months. A weaker rupee could help to revive exports. But, the currency must fall slowly and in controlled fashion, says Devangshu Datta.
The coming festive season is unlikely to bring cheer for the automobile companies. Leading manufacturers said on they did not expect consumer demand to rev up sales substantially this October, due to uncertainties over increasing lending rates and fuel prices.
Unlike many business heads, Hironori Kanayama is surprisingly optimistic about the latent potential of the Indian market and predicts that a turnaround is imminent.
An increase in sales across all categories in the automobile industry, has made need for higher working capital inevitable.
There are 230 million vehicles on the road, and counting. Bulk of these are under seven years old and once they get older, the industry estimates the requirement for spare parts and aftersales service to shoot up sharply.
Morgan Stanley Sales & Trading, US, believes the stock is better value for money than others and has a upside as high as 73 per cent. A slowdown in the economy has hit demand and led to a fall in overall consumption in an auto market which till recently was one of the fastest growing in the world.
'If credit is not available, people will postpone buying. That's what has happened.'
Car sales in India grew by just 2.2 per cent in 2011-12 , the slowest in two years.
Urban and rural FMCG sales growth data for the last five quarters show the latter outperformed the former consistently.
With total sales of 2, 11,402 cars, compared to 1, 86,890 notched up in the same month last year, February 2012 witnessed the highest growth in the last 10 months in terms of sales output.
Among other things, the agenda is likely to focus on increasing private investment, employment generation and giving relief to the farm sector
If the court order is implemented, it will lead to an increase in the insurance outgo for car owners by a minimum Rs 50,000 for car and a minimum of Rs 7,000 for two-wheeler owners.
FDI is a major driver of economic growth and a source of non-debt finance for the economic development of the country. The government has put in place an investor-friendly policy on FDI, under which investment up to 100 per cent is permitted on the automatic route in most sectors/ activities. At $ 64.37 billion, FDI in 2018-19 is the highest ever investment received for any financial year.
The 125-km stretch covering Sanand, Hansalpur and Vithalapur, with connected nodes at Kadi and Halol, is set to emerge as the next major automobile hub in India.
The second wave of the pandemic in the country has derailed the recovery momentum of the domestic auto industry, which was poised for a comeback in the current fiscal after witnessing the two consecutive challenging years, ratings agency ICRA said on Thursday. Unlike the first wave where infections were largely localised to urban clusters, the second wave has seen deeper and wider penetration, including into rural hinterlands. Accordingly, outlook for various segments has been revised downwards, it said.
Reflecting the mood, passenger vehicle sales in November either remained muted or skidded for most manufacturers as high fuel prices and the higher cost of borrowing dampened buying sentiment.
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According to industry body Society of Indian Automobile Manufacturers and Automotive Component Manufacturers Association of India, with demand continuing to be low and factories not operating at full scale, this may lead to temporary excess overheads.
Iconic Italian brand Alfa Romeo is all set to burn rubber on Indian roads next year as Fiat, the parent company, prepares to launch the brand in the local market, according to top Fiat India executives.
Automobile industry body SIAM on Monday lowered its vehicle sales growth forecast for FY'12 to 11-13 per cent from 12-15 per cent announced three months earlier, mainly due to higher interest rates and rising fuel prices.
A slowdown in the automobile industry is set to reverse by the year-end. The slowdown, which is cyclical in nature and occurs after every seven years, should come to an end in the next three months, according to the Society of Indian Automobile Manufacturers (SIAM), the country's apex automobile body.
Toyota's India unit will also source two cars manufactured by Maruti Suzuki, the Baleno and Brezza, including their hybrid variants, and in return Toyota will offer its Corolla sedan to Maruti.
2012 was undoubtedly a year of shocks and surprises for the automobile industry of India.
Exports in October and November fell 28 per cent and 17 per cent, respectively.
Sales plunged to 133,747 units from 158,767 in the same month last year.
While some carmakers are lowering their sales targets, Maruti Suzuki DZire, M&M XUV500 and Renault Duster are selling strong.
Car makers are reaching out to consumers in rural centres as high lending rates slow urban demand.
Domestic passenger car sales touched a record 189,008 units in February this year, a growth of 22.63 per cent vis-a-vis the figure for the same month of 2010, as customers advanced their purchases fearing a possible excise duty hike in the Budget.
The 50-odd launches and unveilings at the Auto Expo are unlikely to lift the gloom off the domestic automobile industry, which has been battling declining sales for six months.
Why is the Mini the only "lifestyle" auto badge that seems to be growing and staying strong? Pavan Lall finds out.
Looking to push nearly 28 million over 11-year-old polluting vehicles off-roads, the government has proposed incentives worth 8-12 per cent of the cost of a new vehicle for surrendering the old ones.
During the meeting with Finance Minister Nirmala Sitharaman, the auto industry broadly presented factors such as issues regarding availability and affordability of financing, increasing cost of acquisition of vehicles and change in axle load capacity for commercial vehicles that have hurt demand.
The list clearly shows the dominance of Maruti and Hyundai in the Indian passenger vehicle market.
