Maruti Suzuki Faces Decline in Sales Amid Affordability Concerns
Maruti Suzuki India reported a 6% decline in sales for June, attributed to lower sales in the smaller car segment. This downturn, in contrast to GDP growth, is mainly due to increased vehicle prices driven by stricter regulations. The company also noted a drop in compact and utility vehicle sales.
- Country:
- India
Maruti Suzuki India revealed a 6% year-over-year decrease in total sales for June, amounting to 1,67,993 units. This is a drop from 1,79,228 units sold in June 2024.
The decline is stark in the domestic passenger vehicle segment, where dispatches dropped 13% to 1,18,906 units, compared to the previous year, according to a company announcement.
Company official Rahul Bharti attributed the slowdown to a lack of growth in the smaller car market segment, citing affordability issues as a result of a 70% price hike since 2019 due to stricter regulations.
(With inputs from agencies.)
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