Maruti Suzuki slows down car sales in November

Car sales continued to slide for the fifth straight month in November, largely because the market leader Maruti Suzuki struggled to meet the rising demand for its diesel models even as most other manufacturers reported impressive gains. Serial increases in interest rates and petrol prices have systematically struck at demand for cars, reflected most sharply in the case of manufacturers that do not offer diesel-driven models or that have not been able to beef up output of their diesel models.

Though some of Maruti’s diesel models continue to entail a waiting period of up to eight months, the company ended up with 19% fewer deliveries in the month at 82,870 units, compared with the corresponding month last year. Even as the carmaker managed to resume production at full steam after four months of labour strikes, its cumulative sales, including exports, fell 18.5% in its sixth successive month of fall.

“The market conditions are tough and we are trying to maximise sales of diesel cars which are currently in demand. The sales are impacted by the slowing market where customers are wary of uncertain economic conditions and going in for new purchases,” Maruti managing executive officer Mayank Pareek said.