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Gadkari backs Sitharaman's claim that 'millennials' mindset behind auto sector slowdown'

ANI  |  Politics 

Union Transport Minister Nitin Gadkari backed Finance Minister Nirmala Sitharaman's claim that the mindsets of millennial were adversely affecting the automobile industry as they prefer to use radio taxi services instead of buying own vehicle.

"That is also one of the reasons. Somewhere because of the global economy, business cycle and demand and supply there is a problem. Somewhere the manufacturing was more than the expectation. Now it is a problem," he told ANI when asked to comment on Sitharaman's claim.

Addressing a press conference on Tuesday, Sitharaman had said: "The automobile and components industry has been affected by BS6 and the mindsets of millennial, who now prefer to have Ola and Uber rather than committing to buying an automobile."

It may be noted that the automobile sector has seen faltering sales in recent quarters.Domestic passenger vehicle sales skidded for the 10th consecutive month, falling from 287,198 units in August last year to 196,524 units last month and registering a 31.57 per cent decline.

Gadkari, known for his astute business skills, said that his ministry is charting out a way to uplift the automobile industry with the help of the finance ministry.

"The government is with the industry because it is an employment provider. It also contributes to the growth rate. So, we are very sensitive about it. Finance Ministry and my ministry are seriously considering a lot of things for them. I am confident that there will be reform in the sector. I am expecting that India will become the manufacturing hub of the automobile," he said.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, September 12 2019. 06:57 IST
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