Year-on-Year Plunge

The heart of the matter lies in the staggering 71.41% year-on-year drop in passenger car sales. Last month’s sales tumbled to a mere 4,875 units, a stark contrast to the 15,432 units sold in November 2022. It’s a dip that demands attention and raises eyebrows across the nation.

Month-on-Month Change

While the year-on-year stats sent ripples, the month-on-month scenario shows a marginal uptick of 0.52%. November managed to surpass October by a whisker, reaching 4,875 units compared to the previous month’s 4,850 units. These numbers are a flicker of hope amid the storm.

Car Sales and Production Paradox

Interestingly, the total production of passenger cars in November soared by 10.42% on a monthly basis, hitting 4,271 units. However, a stark reality check unfolds when viewed through the lens of the previous year, witnessing a 72.46% year-on-year production slump compared to November 2022.

Car Sales in Fiscal Year 2024

Zooming out, the broader picture unveils a 53.30% year-on-year freefall in car sales for the initial five months of fiscal year 2024. A mere 25,746 units rolled off the lots, depicting the challenges besieging the auto industry. High inflation, currency woes, political uncertainty, and supply chain disruptions cast a long shadow.

Currency and Import Hurdles

Despite some relief in import restrictions, the auto sector grapples with the aftermath. Essential parts still face restrictions, with a shortage of dollars crippling the import of crucial components. Honda and Suzuki, among others, experienced temporary plant shutdowns, adding to the industry’s woes.

As truck sales dip by 18.47% month-on-month and motorbike/three-wheeler sales witness a 20.36% year-on-year drop, the auto industry stands at a crossroads. The cumulative production and sales for the first five months of fiscal year 2024 show a 12.31% and 11.98% year-on-year decrease, echoing the industry’s struggle.