Auto retail sales skid 9% in Sept on sluggish demand

NEW DELHI: Auto retail gross sales declined over 9% year-on-year in Sept amid an enormous build-up of passenger car stock as a consequence of sluggish demand, vendor’s physique FADA mentioned on Monday.The general registrations declined to 17.2 lakh items final month from 19 lakh items in Sept 2023, as a lot of the classes, together with passenger autos and two-wheelers, witnessed a year-on-year (YoY) drop.

“Regardless of the onset of festivals equivalent to Ganesh Chaturthi and Onam, sellers have reported that the efficiency has been largely stagnant,” Federation of Vehicle Sellers Associations (FADA) president C S Vigneshwar mentioned. Passenger car gross sales declined 19% YoY to 2,75,681 items final month from 3,39,543 items within the year-ago interval.”Seasonal components equivalent to Shraaddh and Pitrapaksha, coupled with heavy rainfall and a sluggish financial system, have exacerbated the scenario,” Vigneshwar mentioned.Two-wheeler retail gross sales noticed a dip of 8% YoY to 12,04,259 items as a consequence of low shopper sentiment, poor inquiries, and decreased walk-ins, FADA mentioned.Business car registrations declined 10% YoY final month to 74,324 items. Whereas there was optimistic sentiment and marginal progress in areas supported by infrastructure tasks, total demand remained weak as a consequence of low govt spending, prolonged monsoon delays and seasonal challenges, the trade physique mentioned.Three-wheeler retail gross sales rose marginally to 1.1 lakh items final month. Tractor gross sales rose 15% YoY to 74,324 items final month.