GST uncertainty holds back auto sales in August
Auto sales in India barely grew in August, as many buyers hit pause while waiting for clarity on possible GST rate cuts.
Passenger vehicles were up just 1%, two-wheelers by 2%, and commercial vehicles by 9%.
Dealers are hopeful things will pick up in September when the festive season kicks off and GST policies become clearer.
Dealers are sitting on 600,000 units in inventory
August saw 323,256 cars and SUVs registered—a number held back by heavy rains and mid-month uncertainty.
Sales got a small boost after some automakers dropped prices, but most buyers are expected to return after September 22 with Navratri.
Two-wheelers held strong at 1.37 million units despite weather hurdles, while commercial vehicles rode a wave of new contracts and positive business vibes.
Dealerships are sitting on about 600,000 units in inventory right now.