Transporters — struggling with excess capacity owing to a slowing economy and consumption slowdown — deferred purchases, the monthly sales data released by truck makers shows.
Companies are now hinging their hopes on the festive season and a pre-buying ahead of the implementation of BSVI emission norms, which takes effect on April 1, 2020.
But not everyone is hopeful. "The truck industry is in a very poor condition. It’s a desperate situation. Discounts of Rs 8,00,000 to Rs 9,00,000 are unheard of. Don’t think sales will improve unless consumption revives and the economy improves,” said Rajan Wadhera, president of the Society of Indian Automobile Manufacturers (Siam).
At 10:50 AM, the stock was down 5.66 per cent at Rs 61.65 as compared to a 0.3 per cent fall in the benchmark S&P BSE Sensex. The counter witnessed huge trading volumes with a combined 18 million shares changing hands on the NSE and BSE, till the time of writing this report. Nifty Auto index was the top loser among Nifty sectoral indices and was trading 1.77 lower at 6,780 levels.