Demand distress seems to be plaguing car sales for the third consecutive month of the current fiscal. Owing to weak consumer sentiments across all segments in June 2019 both in the urban and rural regions most leading car makers saw dip in year-on-year sales figures. In fact, inventory pile up owing to the dearth in demand has forced OEMs to schedule plant shutdowns and production cuts in May and June.
The country’s largest passenger car manufacturer, Maruti Suzuki India (MSI) sold a total of 124,708 units in June 2019. This includes 113,031 units in domestic market, 1,830 units of domestic OEM sales and 9,847 units of exports. In comparison to June 2018, when domestic sales were at 1,35,662 units, the June 2019 sales have declined by 16.7 percent. Exports in comparison have increased by 5.7 percent.
During Q1 of 2019-20 (FY20), the company sold a total of 402,594 units in the April-June quarter of FY 2019-20. This includes 369,985 units in the domestic market, 4,496 units of domestic OEM sales and 28,113 units of exports.
MSI has recorded a concerning negative growth of 17.2 per cent in June 2019 selling 111,014 units of passenger vehicles in the Indian market against 134,036 units which it sold in the same month last year. Overall sales in the April-June period stood at 363,417 units which is a decline of 20.8 per cent when compared to 363,417 units which was sold in the same period last year. The compact car and utility vehicle segment also recorded negative growth leading to doubledigit decline in sales.
This is the 8th consecutive month where MSI has posted sales decline and the 3rd consecutive month when the decline is in double digit. The biggest decline in sales was registered by the mini segment, which includes Alto and old WagonR range. This segment sold 18,733 units in June 2019, as compared to 29,381 units last year same month, recording a de-growth of 36.2 percent.
Compact segment of cars too registered a decline, despite the addition of the new WagonR. This segment includes cars like Swift, Baleno, Celerio, Ignis, Dzire; registered sales of 62,897 units, down by 12.1 percent, against 71,570 units sold in June 2018.
Esta historia es de la edición July 2019 de Steel Insights.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición July 2019 de Steel Insights.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
Steel's Net Zero mission
The country’s commitment to achieving Net Zero within a targeted timeframe will now propel its steel sector towards a sustainable future in line with global trends.
Fuel Price Hike, Supply Chain Disruption Hurt Festive Sales
Supply chain disruptions and fuel price hikes have hurt festive sales in a big way as most auto majors posted decline in sales in October.
Seaborne coking coal offers remain range-bound
Seaborne coking coal offers moved in a narrow range in October amid global supply tightness and healthy spot demand.
Global crude steel output down 8% in September
China manufactured 74 mt in September, fall of 21% y-o-y while India’s production went up by 7% to 10 mt.
MOIL embarks on expansion projects
“Even though our country is blessed with manganese ore reserves, we import 50% of the domestic requirement. We have to lower our import dependence and save precious foreign exchange.” Ram Chandra Prasad Singh, Steel Minister
Iron ore handled by major ports down 17% in H1
The 12 major Indian ports handled 27 mt of iron-ore during H1 of 2021, down by 17% from 33 mt recorded for the corresponding period of previous year.
Shrinking China output to boost India exports
“In the third quarter of 2021, the company actively responded to the pressure from external policies, such as production curtailment and dual control system on energy consumption and intensity, as well as coal resource shortage and surging prices.” Baoshan Iron and Steel Co Ltd
Indian Railways' iron-ore handling up 25% in H1
Indian Railways in April-September of 2021 (H1) transported 84 mt of iron ore, up by 25% over 67 mt during April-September 2020.
September crude steel production up 7.2% y-o-y
India’s crude steel production in September 2021 grew 7.2 percent to 9.547 million tons (mt) over September 2020 but was down by 3.2 percent from August 2021 output, provisional steel ministry data showed.
“Five enablers: way forward to sustainable cleaner steel”
Right and scalable technology, appropriate policy guidance by government, access to finance to fund transition, willingness of customers to pay for cleaner products and infrastructure for use of new technologies are the need of the hour for the sustainable and cleaner steel industry, according to Madhulika Sharma, Chief Corporate Sustainability, Tata Steel.
