Friday, July 15, 2011
By Pranjal Gera
Slowdown in the market, Launch of new cars
The slow running of Auto industry has already started showing its signs. he same was observed last month also with car sales dipping to an alarming level. The effect on the monthly sales clearly show the adverse effect of this slow down. The affected sales were observed in the accounts of big auto majors like Maruti Suzuki, Tata Motors and Hyundai Motor India. they together constitute 80% of the domestic market.
Deceleration in industrial production and moderation in economic growth are making it all the more difficult for auto industry to wriggle out of the slowdown mode. Hence the 30% growth of May and June is not expected in the immediate months to come. On the contrary, the automotive manufacturers are typically thinking to increase the sales rate to 8 to 10%.
Gearing up, the country’s leading car manufacturer, Maruti Suzuki is all ready to launch new Maruti Wagon R III. This new tall boy’s car not only caters to the needs of city driving but also gives a head on to the competitor in the market, Toyota. The vehicle offers a rather roomy interior coupled with small exterior dimensions making it ideal as a city car.
The Maruti Wagon R III is rather comfortable and frugal, making it a perfect vehicle for small families as well. Following Maruti Wagon R III, a new compact version of Maruti Swift Dzire Sedan is being launched by the company. This car is assumed to have higher market price than the earlier version because of the 12 percent less duty on smaller cars under four meters of length.
Toyota has launched its new hatchback, Toyota Etios competing against Honda Brio and Skoda Rapid in the domestic market. Hyundai Motor India is also following the trend by launching a micro car in the league of Hyundai Verna Sedan to earn revenue in the slothful automobile market.