As per the latest news update, In September automobile companies actually slashed their production due to slump in demand, resulting in huge pillage in the stock in dealerships and factories, even though hope has been expressed for the recovery of car sales in the festive season.
OhMyIndia recorded that in a regulatory statement to stock markets Maruti Suzuki, market leader, disclosed that in September production had decreased by 17.5 per cent, which made it the eighth consecutive month that output decreased as a result of decreasing demand.
In September of this year, the company produced 1,32,199 cars compared with 1,60,219 units in the same month of the previous year, it said.
Out of 1,15,576 units in September last year, production of mini and compact cars such as Alto, WagonR, Swift, Baléno and Dzire fell to 98,337 units in the month, which accounts for a 14.9% decline, OhMyIndia latest India news suggests.
Similarly, to 18,435 units, production of utility cars such as Vitara Brezza, Ertiga and S-Cross decreased by 17 per cent. In the same month last year, the production of the medium size Ciaz company decreased to less than half by 2,350 units compared to 4,739 units.
After an incredible 33 per cent reduction in output in August, production is declining in September. This is highlighting the automobile Industry in the India news updates.
The latest India news reports the number of passenger cars manufactured in September by Tata Motors was 6,976 in comparison with 18,855 units during the same month last year, which decreased by 63 per cent.
In anticipation of higher sales during the Festival, which commences with Onam in August, and ends with Diwali in November, cars and two-wheeler managers tend to add from August. But this isn’t happening during the current season with the downturn taking its toll.
Maruti Suzuki, Hyundai, Mahindra & Mahindra, Tata Motors, Toyota and Honda, major car manufacturers, have announced a double-digit decrease in domestic car sales during September because the beginning of the festive season failed to stimulate selling in the slow economy, OhMyIndia research reports.
The persistent downturn in the automotive industry also occurs in the heavy-duty vehicle manufacturer, Ashok Leyland, who today announces that he has decided to suspend production at various sites up to 15 days in October.