Cheni, Jan 2: Small automobile companies logged volume growth as compared to major players in the industry whose sales dipped as seen from the sales numbers announced by companies. The currency crunch due to demonetisation of 500 and 1,000-rupee notes coupled with customers postponing purchase decisions has hit some of the major players in the industry.
For instance, Mahindra and Mahindra Ltd (M&M), Ashok Leyland Ltd, Bajaj Auto Ltd and Maruti Suzuki Ltd saw their sales dipping while companies like Nissan Motor India Pvt Ltd, Volkswagen and Eicher Motors logged volume growth. “The auto industry continues to go through challenging times, grappling with the short-term effects of demonetisation as well as reduced and postponed purchase decisions,” said Pravin Shah, President and Chief Executive (Automotive) at M&M. Nissan Motor India Pvt Ltd sold 3,711 units in the domestic market, up from 3,065 units sold the same month a year ago.
“Nissan India achieved healthy sales in December by posting 21 per cent year-on-year growth despite the challenges of demonetisation,” Arun Malhotra, Maging Director of Nissan Motor India, said. Hyundai Motor India achieved 5.2 per cent growth in domestic sales to 5,00,537 units in calendar year 2016, as against 4,76,001 units in 2015.
According to the company, its sales during the month stood at 117,908 units from 119,149 units sold in the same month last year. On its part, M&M announced that it sold 36,363 vehicles compared to 37,915 vehicles during December 2015. The company logged negative sales in passenger and commercial vehicles segments for the period under review. Eicher Motors sold 57,398 units last month, up from 40,453 units sold in December 2015, the statement said. Two- and three-wheeler major Bajaj Auto saw a whopping 22 per cent fall in its sales last month at 225,529 units as compared to 289,003 units sold in December 2015.
For Ashok Leyland, the fall in sales was a steep 20 per cent at 1,949 units in the light commercial vehicles (LCV) segment as compared to the eight per cent fall in the medium and commercial vehicles category at 8,782 units. (IANS)