Maruti Suzuki, Hyundai and others see sales plunge by 80% in May with exports taking a massive hit during the lockdown

(L-R) Vikas Jain, National Sales Head, Hyundai Motor India Limited, SS Kim, MD & CEO, Hyundai Motor India Ltd., Albert Biermann, President, Head of R&D Division, Hyundai Motor Company and SY Lee, Senior Vice President, Head of Hyundai Global Design Centre, Hyundai Motor Company at the launch of the fully connected SUV, Hyundai VENUE Photo : Ajay Kumar GautamBCCL
  • The Indian automobile sector reported a sharp decline in monthly sales for May 2020.
  • Companies continue to struggle under the partial resumption of plants and lower production.
  • Automobile sales in India have taken a massive hit since March 23 — when the government announced a nationwide lockdown to deal with the COVID-19 pandemic.
The sales of India’s COVID-19-battered automobile companies in May remained at historic low levels as factories came back to life and dealerships opened up — but customers continued to stay away.

Automobile sales in India were already on a downtrend in India for over a year. It has only gotten worse since March 25⁠ when the government announced a nationwide lockdown to deal with the COVID-19 pandemic.

Both production and sales came to a grinding halt and makers could not sell a single unit in April — despite running offers and schemes to try and boost sales. Some factories restarted in May, but the monthly auto sales data is far from encouraging.

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“While most auto manufacturers have received permission and have opened their plants, the entire production ecosystem is yet to fall in place due to supply-side constraints, permission to operate with the limited workforce at plants and limited support from dealers and financiers,” said a report from Nirmal Bang, a broking firm.

It expects the pressure to continue as commercial vehicles is one of the worst-affected segments due to “excess capacity and limited drive availability.”

Maruti Suzuki IndiaMay 2020 salesMay 2019 salesDrop in sales %
Domestic sales13865 125552 89%
Exports4651 908949%
Total sales18539 13464186%
EscortsMay 2020 salesMay 2019 salesDrop in sales %
Domestic sales645464880.50%
Exports14033958.70%
Total sales659468273.40%
Hyundai Motor IndiaMay 2020 salesMay 2019 salesDrop in sales %
Domestic sales6,88342,50284%
Exports5,70016,60065.60%
Total12,58359,10278.70%
Mahindra & MahindraMay 2020 salesMay 2019 salesDrop in sales %
Domestic sales9,07643,05679%
Exports4842,36580.00%
Total9,56045,42179.00%
TVS Motor CompanyMay 2020 salesMay 2019 salesDrop in sales %
Two-wheeler56,218294,32683.00%
Three-wheeler2,68812,78079.00%
Total58,906307,10681.00%
Royal Enfield (RE)May 2020 salesMay 2019 salesDrop in sales %
Total19,11362,37169%

SEE ALSO: May monthly auto sales data is unlikely to fire up the spirits

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