FADA: Automobile Industry in recovery mode as demand for passenger vehicles increased
FADA pointed out that all categories in the automobile were unstable. The demand for the passenger vehicle was high in times of pandemic.
On Thursday, The Federation of Automobile Dealers Association (FADA) released vehicle retail data for June, and the figures confirmed that after the trouble times of April and May because of Covid restriction. The Indian Automobile Industry is in recovery mode.
FADA pointed out that all categories in the automobile were unstable, the demand for the passenger vehicle was high. Credit emerging out of the need for personal mobility in times of pandemic. In June, PV retail increased by 43.45%, as compared to the same month in 2020 and 27.66% from June in 2019. Vinkesh Gulati President of FADA believes, the month of June saw the unlocking due to this the automobile industry witnessed a high demand which was stuck in the system because of statewide lockdown.
The two-wheeler segment is although strong showcased a slow revival. FADA states it could be due to progressive recovery demand from rural markets emerging from Pandemic stress. Rural India had largely covered up with Covid in the first wave in 2020. Segments like three-wheelers and commercial vehicles are also emerging stronger.