SIAM further lowers forecasts

The Society of Indian Automobile Manufacturers (SIAM) further lowered its forecast for sales of passenger cars and commercial vehicles for the current fiscal year, from 10-12% to 9-11%; while its sales forecast for commercial vehicles was lowered from 9-11% to 6-8%. SIAM said increases in interest rates and petrol prices have resulted in a slowdown of car sales; sales of diesel-powered vehicles on the other hand, were not affected because diesel costs less than petrol, and there is a waiting period of up to six months for some diesel vehicles, such as Maruti Suzuki’s diesel-powered Swift hatchback, DZire sedan and Ertiga multi-utility vehicle. (July 11, 2012)