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India car sales analysed: July 2019

August 07, 2019, 06:37 PM IST by Nikhil Puthran
India car sales analysed: July 2019

The Indian auto industry has been witnessing a considerable decline in sales in the last few months. The decline in car sales is across all segments, however, the compact SUV segment has posted a marginal growth of three per cent, primarily due to the introduction of the Hyundai Venue and the Mahindra XUV300. One of the main reason for the major decline in car sales in recent months is due to regular stock correction from the manufacturers. 

Two new products from Maruti Suzuki, the Ertiga and the Wagon R have been strong sellers with 94 per cent and five per cent growth, respectively. Volkswagen has witnessed a growth of two per cent in July, primarily due to 21 per cent and 10 per cent growth of the Ameo and the Polo, respectively. Skoda, on the other hand, has witnessed a nine per cent growth with 11 per cent growth in Octavia sales and 16 per cent growth in Rapid sales. The Volkswagen and Skoda sales have witnessed marginal growth in July, primarily due to lucrative offers. Ford has posted 18 per cent growth in July, mainly due to 376 per cent sales growth for the Figo. The strong sales number for the Figo is likely due to the stock correction activity from the company. 

Based on the analysis from industry experts, inventory de-stocking will continue for two more months and a slight growth is expected, especially around the festive season with new product launches in the country.

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