Two-wheeler sales in India, the world’s largest market for such vehicles, extended the declining streak of the previous months as manufacturers pared dispatches to dealers in a bid to control inventory on the back of poor retail sales.
Automakers in India count dispatches to dealers as sales. Dragged down by top two firms — Hero MotoCorp and Honda Motorcycle and Scooter India — which saw volumes skid 23.22 per cent and 10.59 per cent, respectively, motorcycle and scooter sales in India skidded 16.3 per cent to 1,486,828 units over a year-ago period.
With a proposed hike in registration of new vehicles, the cost of owning an automobile is expected to go up. Though the hike will be marginal, it is likely to impact sentiments adversely.