Oxford, UK — Passenger vehicle production in India was 301,000 units in August 2019. This is a 15.0% fall compared with August 2018, according to consultants LMC Automotive.
Looking at year to date production, LMC Automotive said that in the first eight months of 2019 a total of 2.2 m passenger vehicles were made in the nation. This is a decline of 10% compared with the same period in 2018.
The consultants estimate that in 2019, total passenger vehicle production will be down by around 10%. The consultants suggest production could fall to 3.87m units.
Turning to sales of vehicles in India, the consultants said that several factors came together to make August a difficult month.
LMC Automotive said the industry is in the middle of a cyclical downturn. Consumers are finding credit hard to secure. This is because lending companies are facing a liquidity crisis. Additionally, the price of vehicles has gone up by between 10 and 13%, the consultants add.
Finally, the numbers are in comparison with August 2018, which was a very strong month for sales.