Car Sales in India Fall 7%
Wholesale deliveries of new passenger cars in India dropped to 131,200 units from 141,600 units in July 2012, the Society of Indian Automobile Manufacturers reports. July marked the ninth straight month of year-over-year declines.
Indian demand for SUVs, which soared 52% in the fiscal year that ended on March 31, unexpectedly plunged 18% to in July. It was the segment’s first sales drop in four years. The country’s government boosted excise taxes on SUVs by three percentage points to 30% in March.
Deliveries of all passenger vehicles, including SUVs and minivans, shrank 8% last month. SIAM blames the slump on India’s weak economy, high interest rates and steep fuel prices.
Sales of commercial vehicles contracted 15% to 55,300 units.
Car volume jumped 11% to 63,000 units at market leader Maruti Suzuki. But demand slid 6% to 25,900 units at Hyundai and plunged 60% to 8,500 units at Tata and 30% to 14,500 units at Mahindra.
What happens if that $2.29 a gallon goes up by a couple of bucks a year from now? How are the pickup, SUV and crossover sales going to be then?
The common wisdom seems to be that midsize cars have pretty much had it in the U.S. new car market.
Often when there are vehicles that have ceased production and are in the process of being completely moved out of the system there are sales numbers that look like this: Honda Insight: June 2016, 9; June 2015, 126; % change: 93.1% Sometimes there is a vehicle that has just gone into production and it catches the sales at just the right time so that there are numbers that look like this: Honda Ridgeline: June 2016, 2,472; June 2015, 7; % change: 33,856% OK.