Re: 2-wheeler makers to cut production by 35% in November 2021 "The festive season failed to bring cheer as demand was weak, and with dealerships sitting on huge inventories, manufacturers have been forced to tweak their production schedules.
The industry output for the month of November is estimated to be the lowest since 2012. Reports suggest overall production could be down to 1.35-1.40 million units. The situation may continue in December, causing the 2-wheeler market to shrink in FY2022."
This may be due to various reasons:
1. The ongoing grim situation of joblessness/salary cuts induced by Covid leading to delaying 2 wheeler purchases by the MIG.
2. Less disposable income in rural sector as agriculture sector isn't doing well due to torrential rain and floods in India.
3. Petrol prices , I know 2 guys in my neighbourhood who have booked OLA Scooter rather than buying another petrol guzzling Activa. |