Commercial vehicle makers expect recovery in sales from second half of FY21

Even as domestic sales of commercial vehicles (CV) are headed towards a decade’s low in FY21, industry leaders are expecting better days in the second half of the financial year.

While economic slowdown, drying up of infrastructure projects and revised axle norms hit the sector badly in FY20, the coronavirus (Covid-19) pandemic has worsened the situation.

CV sales had declined 29 per cent in FY20 and Hetal Gandhi, director, CRISIL Research, expects them to fall this year too. “CV sales are expected to fall 26-28 per cent in fiscal year 2021,” said Gandhi.

In FY20, CV sales were impacted by the increase in