Festive season fails to lift auto sales, FADA warns of PV inventory crisis

In August, passenger vehicle registrations in India decreased by 5% compared to the previous year due to delayed purchases, poor consumer sentiment, and heavy rains. The Federation of Automobile Dealers Associations (FADA) expressed concern about high inventory levels and called for banks and dealers to take action to prevent financial strain. Commercial vehicle and tractor sales also saw declines, while two-wheeler and three-wheeler sales increased. FADA remains cautiously optimistic about the business outlook, highlighting the importance of strategic inventory management and targeted marketing initiatives to maximize sales during the festive season.