Tata Motors' commercial and passenger vehicle sales in December 2015 dropped by 6.24 percent at 35,416 units compared to 37,776 units clocked in December 2014.
"Last year, in the anticipation of increase in excise, effective 1st of January 2015, the sales in December 2014 increased unusually. Hence, this year the sales have been impacted due to a high base effect," Tata Motors said in a statement.
On a month-on-month basis, sales volume fell by 2,360 vehicles in December.
Total vehicle sales including exports also dropped by four percent from 41,734 units in December 2014 to 39,973 units in the period under review, the statement said.
However, commercial vehicles comprising medium and heavy vehicles registered two percent growth with the sale of 12,673 units in December 2015.
Similarly, light and small commercial vehicles grew by 11 percent with 14,674 units, the statement said.
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Overall domestic commercial vehicles sales in December grew by six percent with the sale of 27,347 units compared to 25,736 units in December 2014.
But passenger vehicle sales decline by 33 percent in the analysed period with the sale of 8,069 units compared to 12,040 units clocked in December 2014, the statement said.
Same is the case with utility vehicles, sales dropped by 44 percent with the sale of 1,169 units.
Exports increased from 3,958 units in December 2014 to 4,557 units in the analysed period, an increase of 15 percent, the statement added.