Covid 19 fallout: India’s automobile industry witnesses sales drop in 2020-21

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Sales of passenger vehicle in the country dropped by over two per cent in the 2020-21 due to the outbreak of Covid-19 pandemic, industry body SIAM said on Monday.</p>
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Data released by the Society of Indian Automobile Manufacturers (SIAM), for 2020-21 showed that passenger vehicle sales declined by 2.24 per cent to 27,11,457 units as against 27,73,519 units in 2019-20.</p>
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Sales of two-wheeler in 2020-21 by companies to their dealers too showed a decline of 13.19 per cent to 1,51,19,387 units against 1,74,16,432 in 2019-20.</p>
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Similarly, sales of commercial vehicles declined by 20.77 per cent to 5,68,559 units last financial year compared to 7,17,593 units in 2019-20.</p>
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“On the sales front, a deep structural slowdown in the industry even before the pandemic, combined with the impact of Covid-19 in 2020-21, has pushed all vehicle segments back by many years. Recovery from here will require time and efforts, by all stakeholders. There is uncertainty in the value chain owing to semiconductors, lockdowns and raw material. In an environment of uncertainty, instead of trying to predict the future, we will all work hard to create it,” Kenichi Ayukawa, President, SIAM said in a statement.</p>
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Ayukawa added that the Indian automobile industry would continue to “work hard, amidst the challenges of Covid second wave, to maximise production and sales, while ensuring safety of its people, partners and customers.”</p>