Mercedes' India sales may decline this year

German auto major Mercedes-Benz, facing a stiff competition to retain its number one spot in the luxury car segment in the country, today said its sales in India this year could be lesser than last year.

"I don't see higher sales this year. During the first half of 2009, our sales were impacted just like other players in the industry but we hope for a momentum in the second half and also a robust growth in 2010," Mercedes-Benz India Managing Director and CEO Wilfried Aulbur told reporters here.

The auto industry has been reeling under the global economic downturn since last year and began to look up only in the past few months.

The company is facing intense competition from BMW, which has sold 2,305 units in the first eight months of the year. Mercedes has managed to clock sales of sold 2,026 units in the same period.

Asked about the competition and the possibility of losing the number one spot in luxury segment to BMW, Aulbur said: "Our focus in not on being the number one. Rather, we are focused on bringing new products to satisfy the needs of Indian customers, while remaining profitable in our business."

In 2008, Mercedes-Benz had sold 3,625 units in the Indian market, compared with BMW's 2,908 units.

The company today launched a version of its sedan E-Class in the country priced at Rs 46.98 lakh (ex-showroom, Delhi).