The month of April in India has become completely dry due to the lockdown with zero sales for the country's auto companies. After getting conditional sales permission in May, there was some hope, but it is very slow. The country's largest car company Maruti Suzuki has said that it has sold only 18,539 cars in May, with 13,865 units sold in the domestic market. However, it is 86% less than in May 2019. The sales of Hyundai Motor India, the second largest car company, have fallen by 79% and it has sold a total of 12,583 cars. Both companies account for about 70% of the domestic car market.

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Despite the considerable slackness in the lockdown, it has not been possible for the car companies to open all the showrooms. Looking at other car companies, there has been a total decline of 79% in the sales of Mahindra & Mahindra. Sales of passenger cars have come down from 20,608 in May 2019 to 3,867 while commercial vehicle sales have come down from 17,879 to 5,170 during this period. The good thing for the company has been that the sales of its tractors have increased by 2%. This indicates that the demand for lockdown in the agricultural sector has not reduced very much. Tractor demand is expected to increase further even after the rabi crop is good.

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In its statement, Hero MotoCorp has said that there has been a big decline of 82% in the sales of its two-wheelers in the month of May. In May last year, the company sold a total of 6,52,028 vehicles including motorcycles and scooters, while last month only 1,12,682 sales were made. The company has 6 plants in the country and production has started in all. Due to demand and lockdown rules, they are producing very less of their capacity. Two-wheeler manufacturer Royal Enfield has said that its motorcycle sales have fallen by 69%. Similarly, the sale of heavy vehicle maker Ashok Leyland has recorded a fall of 89%.

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