April sales of 2.3m units point to strong fiscal but costly fuel could be a dampener

The new fiscal has opened on a happy note for India Auto Inc, continuing from where FY20018 ended. Total vehicle sales across segments in April 2018 stand at 2,379,718 units, registering strong 17.44 percent year-on-year growth, with passenger vehicles (298,504 / +7.50%), commercial vehicles (72,993 / +75.95%), three-wheelers (49,980 / + 54.17%) and two-wheelers (1,958,241 / 16.92%), all registering significant growth.

While the growth per se is robust, it’s worth noting that it comes on the back of a low year-ago base, when sales, especially in the CV and three-wheeler segments, were dramatically down in April 2017 when India ...