- Advertisement -spot_img
Friday, November 26, 2021

Total vehicle registrations fell 28 percent in April, the biggest drop in two-wheeler segment

According to data released by the Federation of Automobile Dealers Association (FADA) on Monday, the total number of vehicle registrations fell 28% in a month to 11,85,374 units at the Covid-19 lead barriers in April.

Total vehicle registration stood at 16,49,678 units in March. FADA data sales in April 2020 are not nationwide as compared to total vehicle registrations (17.38 lakh units) recorded in April 2019, this volume is close to 32%.

Total vehicle registrations fell 28 percent in April, the biggest drop in two-wheeler segment

The data released by FADA does not include volumes from Andhra Pradesh, Madhya Pradesh, Lakshadweep and Telangana and 1,289 data have been collected from 1,283 RTOs in collaboration with the Ministry of Road Transport and Highways (MoRTH).

According to FDA President Winkesh Gulati, April saw a double-digit decline in auto registrations, as most states had implemented lockdowns since April. “Unlike last year, the second wave has spread not only to urban markets but also to rural India,” Gulati said.

“Unlike last year, this year a lockdown has been imposed by the state governments. No relief has been announced yet by the central government or the Reserve Bank of India (RBI) and automotive manufacturers.

According to Fada, sales slowed during the first nine days of May, as dealership forecasts closed due to restricted people agitation and lockouts in most states. The association also said that customer walk-ins where dealerships were open have been reduced by up to 30% and consumers are delaying their purchasing decisions.

Read Also:  The Fed warns that stress in China's real estate market poses a risk to the US.

The auto dealer lobby fears that elections in West Bengal, Tamil Nadu and other states and migrant workers in Uttar Pradesh and Bihar may increase the new Covid-19 cases by returning to their hometowns. It expects sluggish retail sales in May as most states extend the lockdown by the end of the month.

He has also requested the government to provide a financial package like last year. Gulati said that he requested the RBI to issue guidelines / instructions for exemption in repayment of the same loan on the days of lockdown declared by each state.

The dealers association estimates that the impact of the second wave of Covid 19 will be even more disastrous for the auto sector, as it has also affected rural areas. However, he hopes that the timely arrival of the monsoon will increase agricultural production, which may contribute to dispel rural sentiments. This will enable rural markets to recover faster than urban markets. Categories such as tractors and two-wheelers will be affected in terms of recovery.

World Nation News Deskhttps://www.worldnationnews.com
World Nation News is a digital news portal website. Which provides important and latest breaking news updates to our audience in an effective and efficient ways, like world’s top stories, entertainment, sports, technology and much more news.
Latest news
Related news
- Advertisement -

Leave a Reply