Passenger vehicle sales in India dropped by 4.53% in August, reaching 309,053 units compared to 323,720 units last year, according to the Federation of Automobile Dealers Associations (FADA).
This decline is attributed to heavy rainfall, which has also led to record-high inventory levels of 780,000 vehicles worth Rs 77,800 crore. Tractor and commercial vehicle sales fell by 11.39% and 6.05%, respectively, while two-wheeler sales grew by 6.28% year-on-year. FADA warns dealers to halt new stock purchases to avoid financial strain. The overall auto retail market saw a modest 2.88% growth.