Kiss Of Death Hits The Auto Sector

Technological advancements have been reshaping the manufacturing industry, including automotive manufacturing, over the last couple of years. India is no exception. The Indian automotive industry is one of the fastest-growing in the world. However, in the recent past, everything is not so hunky-dory within the industry. Of late, automobile sales have been hit hard. Rising fuel costs, new axle load norm clubbed with the credit liquidity crisis, has impacted automobile sales. This has been further augmented by weak consumer sentiments driven by apprehensive monsoons this year. Recently, the Society of Indian Automobile Manufacturers (SIAM) confirmed that sales declined substantially across all categories. Sales of passenger vehicles (PVs) declined by 18.42 per cent between April and June 2019, and the earning of the auto companies declined. On the other hand, the commercial vehicles (CVs)...