Auto sales in India take a smash hit in November, chip crisis still looms 

Society of Indian Automobile Manufacturers (SIAM) said on Friday that wholesales of passenger vehicles in the country declined by 19 per cent in November as the shortage of semiconductors continue to impact vehicle manufacturing and subsequent deliveries to dealer partners. Compared to the 2,64,898 units sold in November last year, this year's passenger vehicles units' sales stood at 2,15,626.

File photo used for representational purpose only. (MINT_PRINT)
File photo used for representational purpose only.

SIAM also informed the total sales of two-wheelers also fell sharply by 34 per cent, 10,50,616 units last month compared to the 16,00,379 units in the same period last year. The sales of three-wheelers also took a hit last month as the total dispatched units came down to 22,471 units compared to 24,071 units in November 2020. This fall accounts for about 7 per cent.

Also Read : Auto retail in November remained in negative despite Diwali, wedding season

Director general Rajesh Menon, SIAM, stated that the auto industry continues to be adversely impacted due to the global semiconductor shortage. “In the festive season, the industry was hoping to make up for the lost ground, but the sales in the month of November 2021, were the lowest in seven years for passenger vehicles, the lowest in 11 years for two-wheelers and the lowest in 19 years for three-wheelers," he added. He also added that with the rising threat of Omicron, the new variant of Covid, the industry is putting effort to ensure employees’ safety and is also focusing on regulating the supply chain.

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The semiconductor shortage has not only affected the domestic market but also has gripped the world's largest auto market, China. According to the latest industry data, the sales of November has come by 9.1 per cent. Chinese Association of Automobile Manufacturers (CAAM) informed that about 2.52 million vehicles were sold last month in the country which is noticeably lower compared to sales last year in November.

(With inputs from PTI)

First Published Date: 10 Dec 2021, 16:00 PM IST
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