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Car sales drop 19 per cent in August, manufacturers offer heavy discounts on diesel cars

September 10, 2012, 01:20 PM IST by Ninad Mirajgaonkar
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Car sales drop 19 per cent in August, manufacturers offer heavy discounts on diesel cars

Auto sales dropped 19 per cent last month compared so same month last year; first dip in last 10 months. Not that auto industry was doing well this year, but lock-out at the Manesar facility had drastic impact on the overall numbers. Many manufacturers have streamlined their operations to keep check on the inventory pileup – especially of petrol models. However, the slump has hit sales of diesel vehicles as well, with companies and distributors now offering discounts as high as Rs 50,000 on certain models.

There are heavy discounts on many diesel models like the Tata Indica, Volkswagen Polo, Ford Figo, Maruti Suzuki SX4, Ritz, Fiat Punto, Nissan Micra and the Mahindra Verito. The discounts of varied amounts up to Rs 50,000 also include free insurance, added features, extended warranty, roadside assistance among others. 

"We are offering discounts on diesel models in-line with the market competition. The slowing demand curve has affected sales of diesel cars too and these rebates are expected to keep the sales ticking," said Ford Motor India president & managing director Michael Boneham.

Of course, there are still few diesel models that enjoy very high demand and also long waiting periods, like the Maruti Swift, Maruti Dzire, Hyundai i20, Hyundai Verna, Renault Duster, Mahindra XUV500 and few others.


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