Car manufacturers feel the heat of the coronavirus, February sales remain off
NEW DELHI: the dissemination of coronavirus It emerged from China and the transition to the BS-VI regime continued to impact the sales of major Indian car manufacturers in February.
Tata Motors, Mahindra and Mahindra (M&m)and
The largest car manufacturer in the country. Maruti Suzuki India (MSI) reported a 1.1 percent decrease in sales to 1.47,110 units in February. The company had sold 1.48,682 units in February last year.
Domestic sales dropped 1.6 per cent to 1.36,849 units last month as against 1.39,100 units in February 2019. Across segments, only sales in utility vehicles (Vitara Brezza, S-Cross and Ertiga) rose for Maruti Suzuki India.
Hyundai Motor India (HMIL) recorded a 10.3 percent decrease in total sales to 48,910 units in February. The company had sold 54,518 units in the same month last year.
Domestic sales fell 7.2 percent to 40,010 units compared to 43,110 units in February 2019, he added.
Tata Motors reported a 34 percent decrease in domestic sales to 38,002 units in February. The company had sold 57,221 units in the same month last year.
Mayank Pareek, president, Passenger Vehicle Business Unit, Tata Motors Ltd He said the Covid-19 outbreak in China and a recent fire incident at one of the strategic vendors affected vehicle production and wholesale volumes.
Multiple measures are being taken to reduce the impact, keeping us close to our customers by providing transparency of the delivery situation, he said.
Mahindra and Mahindra (M&M) recorded a 58 percent decrease in the passenger vehicle segment. M&M sold 10,938 vehicles in February this year compared to 26,109 vehicles in the same month last year.
The decrease in the production of BS-IV vehicles has been in line with our plan for February. However, due to unpredictable challenges in the supply of parts from China, our acceleration BS-VI has been affected, Veejay Ram Nakra, head of sales and marketing, Automotive Division, said M&M Ltd.
This has resulted in a high decrease in billing volume for February and the dealership inventory now has less than 10 days. Starting in March, we anticipate that the challenge in the supply of parts will continue for a few weeks, before returning to normal, he added.
Honda Cars India (HCIL) reported a 46.26 percent drop in domestic sales to 7,269 units in February, against 13,527 units in the same period last year.
Our shipments were limited and in line with our total supply plan available for the month, said Rajesh Goel, senior vice president and director of HCIL (Marketing and Sales).
Since we have been supplying only BS-VI cars since January and dealers aggressively liquidated their BS-IV stocks, our channel was left with an insignificant stock of BS-IV cars at the end of February, Goel said.
MG engine India reported retail sales of 1,376 units in February, hit by component supply constraints from coronavirus hit-China and other locations. The company had retailed 3,130 units last month.
MG engine India product portfolio comprises two models -- SUV Hector and ZS EV. MG engine 's sales last month included 158 units of ZS EV, the carmaker's latest product offering.
"The unforeseen coronavirus outbreak has severely affected the company's European and Chinese supply chains, disrupting its production and impacting sales in February. The disruption in sales will continue through March," MG engine India director, sales, Rakesh Sidana said.
We are working to stabilize the situation and hope that reasonable normality will be restored at the end of March, he added.
The main car manufacturers Maruti Suzuki, Hyundai and Toyota Kirloskar Motor We do not see any immediate impact on their production programs due to the interruption in the supply of components of the plants located in China.
However, the companies said they continue to monitor the situation closely, especially the operations of their main suppliers, to face any adverse situation that may arise in the future. (With agency contributions)