New vehicle registrations down by 26.81% in August 2020

According to the data released by the Federation of Automobile Dealers Associations (FADA), vehicle registrations declined by 26.81% in August 2020. Overall sales stood at 11,88,087 units, compared to 16,23,218 units in August 2019. The MoM data shows a slight improvement as result of the ongoing festive season.

FADA has stated that entry level passenger vehicles were in high demand as personal mobility is being preferred during the current pandemic.

The rural market is showing signs of revival. Tractor, small commercial vehicle and entry level passenger vehicle sales have positively impacted August sales. However, overall demand is still not back to pre-Covid levels.

2-wheeler sales declined by 28.71% to 8,98,775 units compared to the same month previous year.

3-wheeler sales were down by 69.51%. 16,857 units were sold compared to 55,293 units in August 2019.

Passenger vehicle sales saw a decline of 7.12%. 1,78,513 units were sold compared to 1,92,189 units in August 2019.

Sales of commercial vehicles dropped by 57.39%. 26,536 units were sold in August 2020 compared to 62,270 units in the same month previous year.

Tractor sales increased by 27.80% to 67,406 units.

FADA expects strong demand pullback if banks and NBFCs return with aggressive financing schemes.

Team-BHP's detailed analysis of the August 2020 sales figures.