With the domestic auto market going ona downhill slideMaruti Suzuki have cut production as the automobile industry braces up for a single digit sales growth this fiscal. Car makers, however, are hoping that a slew of upcoming new launches, includingSwiftHonda's new Jazz and Brio,Volkswagen's Jetta, and the recently introduced Beat diesel by General Motors India will help revive the market.
"Our production is exactly as per demand. We keep in mind the need to keep inventories at both the company and dealers' end in balance," a Tata Motors spokesperson
If there is a requirement for adjustment in production, the company does it. At the moment there is a slowdown in demand, he added, but did not specify details of the cut.
In July, Tata Motors' car production was down 26.96 per cent to 19,985 units as against 27,362 units in the same month last year. Its domestic car sales were also down 43.13 per cent to 13,997 units.
Last week, it has cut production of most of its models, including the best selling Alto, by 5 per cent, during this month due to slump in demand in the domestic market. the company reduced production of all themodelsexcept citing bad market conditions.
In Julycar production was at 72,587 units, down by 21.08 per cent as compared to the same month last year, mainly due to non-production of Swift. Its domestic sales were down by 31.04 per centWhile admitting that the market is on a downhill drive, other firms like General Motors India, Honda Siel Cars India and Hyundai Motor India, however, have not taken such steps but are hoping that new launches will help sales counter ticking.
The industry is in a bad shape. Yet, there are a lot of new launches happening. Any new launch gives animpetus to the market and that should help the market. Moreover, the festive season is round the corner andwe are hopeful that the demand will revive,This week Maruti is launching its newnew versions of sedan Jetta and hatchbackrespectively in the market.
The industry is in a bad shape. Yet, there are a lot of new launches happening. Any new launch gives animpetus to the market and that should help the market. Moreover, the festive season is round the corner andwe are hopeful that the demand will revive,This week Maruti is launching its newnew versions of sedan Jetta and hatchbackrespectively in the market. General Motorsa lot of uncertainties like high interest rate and fuel prices were having a negative impact on auto sales.
"Earlier we were expecting double digits growth but it is likely to be only in single digit this fiscal. If the industry grows at 6-7 per cent, we should be happy
domestic passenger car sales fell for the first time after 30 months of continuous growth, registering a 15.76 per cent decline mainly due to hikes in lending rates and fuel prices.
This is in contrast to the 29.72 per cent growth witnessed last fiscal to touch 19,82,702 units.
Despite the present situation, BalendranGeneral Motors India has not cut its overall output due to good demand of the newly launched Beat Diesel.
"As for other models, we have always produced based on demand, which we are continuing that right now," he added.
An official of Hyundai Motorthe company is not contemplating any move to reduce production at present.
Last month, HMIL had produced 55,353 units, up 5.94 per cent as compared to July last year. Its domestic car sales were, however, down by 11.49 per cent to 25,501 units. the company is maintaining production at 5,000 units a month level and there were no plans to change it at the moment despite the difficult market conditions.
"With the difference between petrol and diesel prices, there is a preference for diesel vehicles. We are the only manufacturer without a diesel car in our portfolio. Despite that we are managing well,
"Our production is exactly as per demand. We keep in mind the need to keep inventories at both the company and dealers' end in balance," a Tata Motors spokesperson
If there is a requirement for adjustment in production, the company does it. At the moment there is a slowdown in demand, he added, but did not specify details of the cut.
In July, Tata Motors' car production was down 26.96 per cent to 19,985 units as against 27,362 units in the same month last year. Its domestic car sales were also down 43.13 per cent to 13,997 units.
Last week, it has cut production of most of its models, including the best selling Alto, by 5 per cent, during this month due to slump in demand in the domestic market. the company reduced production of all themodelsexcept citing bad market conditions.
In Julycar production was at 72,587 units, down by 21.08 per cent as compared to the same month last year, mainly due to non-production of Swift. Its domestic sales were down by 31.04 per centWhile admitting that the market is on a downhill drive, other firms like General Motors India, Honda Siel Cars India and Hyundai Motor India, however, have not taken such steps but are hoping that new launches will help sales counter ticking.
The industry is in a bad shape. Yet, there are a lot of new launches happening. Any new launch gives animpetus to the market and that should help the market. Moreover, the festive season is round the corner andwe are hopeful that the demand will revive,This week Maruti is launching its newnew versions of sedan Jetta and hatchbackrespectively in the market.
The industry is in a bad shape. Yet, there are a lot of new launches happening. Any new launch gives animpetus to the market and that should help the market. Moreover, the festive season is round the corner andwe are hopeful that the demand will revive,This week Maruti is launching its newnew versions of sedan Jetta and hatchbackrespectively in the market. General Motorsa lot of uncertainties like high interest rate and fuel prices were having a negative impact on auto sales.
"Earlier we were expecting double digits growth but it is likely to be only in single digit this fiscal. If the industry grows at 6-7 per cent, we should be happy
domestic passenger car sales fell for the first time after 30 months of continuous growth, registering a 15.76 per cent decline mainly due to hikes in lending rates and fuel prices.
This is in contrast to the 29.72 per cent growth witnessed last fiscal to touch 19,82,702 units.
Despite the present situation, BalendranGeneral Motors India has not cut its overall output due to good demand of the newly launched Beat Diesel.
"As for other models, we have always produced based on demand, which we are continuing that right now," he added.
An official of Hyundai Motorthe company is not contemplating any move to reduce production at present.
Last month, HMIL had produced 55,353 units, up 5.94 per cent as compared to July last year. Its domestic car sales were, however, down by 11.49 per cent to 25,501 units. the company is maintaining production at 5,000 units a month level and there were no plans to change it at the moment despite the difficult market conditions.
"With the difference between petrol and diesel prices, there is a preference for diesel vehicles. We are the only manufacturer without a diesel car in our portfolio. Despite that we are managing well,
No comments:
Post a Comment