The semiconductor crisis continues taking its toll on auto sales in India. The industry has reported a drop in sales even in the Diwali month as discounts across the industry have been reduced due to supply constraints. The passenger vehicle segment has seen a year-on-year (YoY) decline of 18.60 per cent selling 2,15,626 units as compared to 2,64,898 units sold in the same month a year ago. Sales of passenger cars have dropped by 32.70 per cent at 1,00,906 units as compared to 1,49,949 units sold in the same month last year. That said, SUVs have still manged to record a marginal uptick of 1.51 per cent in November selling 1,05,091 units as compared to 1,03,525 units sold a year ago. The vans segment has witnessed a slump of 15.71 per cent at 9,629 units as compared to 11,424 units sold last year.
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Discounts across the insudtry were reduced even during the festive season period.
Speaking of other segments, sales of two-wheelers went down by 34.35 per cent at 10,50,616 units as compared to 16,00,379 units sold a year ago. The three-wheeler segment witnessed a decline of 6.64 per cent at 22,471 units as compared to 24,071 units sold a year ago. And in the same only 46 units of quadricycles have been sold in India. Overall, the industry has recorded a decline of 31.78 per cent at 12,88,749 units as compared to 18,89,348 units sold in the same month last year.
Also Read: Car Discounts Slips To Three-Year Low This Festive Season As Semiconductor Issue Plays Spoilsport
As already mentioned, the slump in sales is primarily attributed to the chip shortage issue the entire auto industry has been reeling under since the beginning of the year. However, sales of two-wheelers have also seen a drop because of the weak demand in rural areas. According to industry experts, semiconductor issue will be impacting sales for at least H1 of calendar year 2022 and the situation is expected to improve only after Q2 of CY 2022.
