Domestic sales of Tata Motors' commercial and passenger vehicles remained flat 34,818 units in May, Tata Motors said in a statement.
Sales of passenger vehicles in the domestic market in May stood at 11,138 units as against 9,230 units in the same month previous year, up 20.67 per cent.
The sales of the passenger cars in May 2015 were higher by 32.37 per cent at 9,176 units as compared to 6,932 units in May 2014. The UV sales declined by 15 per cent at 1,962 units in May 2015.
He said the automotive market is still on a slow recovery path.
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"First time buyers are still not coming out in full to spur sales. Interest rates have not still come down and many customers are still not engaging in taking up loans and are holding back in expectation of rates coming down," he added.
He said the industry could continue to face the slow growth in the first half of the fiscal and there may be some improvement in the second half depending on a variety of factors such as the growth of economy and monsoon.
Exports during the month stood at 4,678 units compared to 3,191 units in May 2014, up 47 per cent.