Domestic car sales continued to go downhill for the second consecutive month in almost three years with August sales declining by 4.36 per cent, although motorcycles cruised with 15.9 per cent growth.
According to the figures released by the Society of Indian Automobile Manufacturers (SIAM), domestic passenger car sales in August stood at 94,584 units as against 98,893 units in the same month last year.
The dip in sales is mainly on account of Maruti Suzuki India and Tata Motors registering negative growths, despite Hyundai Motor India Ltd-- the other member of the big three of Indian automart--clocking impressive numbers.
MSI had decline of 10.07 per cent in August at 46,811 units as against 52,055 units in the same month last year. Tata Motors had also a dip of 10.10 per cent at 12,216 units as compared to 13,588 units in the same month August last year.
HMIL on the other hand, riding on the back of its new hatchback i10, managed an impressive growth of 34.08 per cent at 21,607 units as against 16,115 units in the same month last year, SIAM said.
Industry experts pointed out the decline in domestic sales was on the expected lines after July performance as the car market has not yet come to terms with the financing crunch and high interest rates.
With festive season round the corner and new launches expected, sales are likely to improve in the coming months, they said.
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Motorcycles sales, however, were on a different tangent with sales picking up by 15.9 per cent at 4,85,294 units as against 4,18,702 units in the corresponding month a year ago.
Market leader Hero Honda almost single handedly pulled up bike sales with a 28.53 per cent jump at 2,84,752 units in August as against 2,21,541 units in the same month last year.