Auto industry slump continues; car sales drop 7.59% in Jan

Heavy Industries Minister Praful Patel has already written to the Finance Ministry seeking reduction in excise duty on CVs to 8 per cent from 12 per cent.

At present, automobiles attract excise duty ranging from 12-30 per cent, Mr. Sen said.

Reflecting the sluggish market, car market leader Maruti Suzuki India in January posted 6.88 per cent decline in its domestic sales at 82,461 units as against 88,557 in the same month last year.

Hyundai Motor India Ltd also posted 2.61 per cent dip in sales during the month at 33,351 units as compared to 34,247 vehicles in January last year. Homegrown Tata Motors saw its sales decline by 24.38 per cent to 8,463 units in January from 11,192 in the same month last year.

Honda Cars India, however, saw its sales increase nearly three-fold to 15,597 units in the month from 5,421 in January 2013.

Mr. Sen said the industry is hoping that “the positivity created by the Auto Expo with the 70 new unveilings and launches will at least help in exciting the market”.