Used cars could see an upswing after BS-VI switch despite sales slump

The used cars space is expected to reach 6.7 to 7.2 million cars per year and be valued at Rs 50,000 crore by FY22

The slump in automobile sales is mirrored in the used-car segment as well since around half of the buyers of new cars sell their old ones. Buyers who had postponed their purchases in anticipation of the BS-VI norms being implemented from April 1 may now starting selling their old cars.

This means some of these buyers will sell their old cars, says Gajendra Jangid, co-founder, CARS24. On an average, India sells 4 million used cars, against 3 million new ones.

The used cars space is expected to reach 6.7 to 7.2 million cars per year and be valued at Rs