Sales of passenger vehicles fell to 247,541 in April as against 298,504 a year earlier, data released by the Society of Indian Automobile Manufacturers (Siam) on Monday showed. Two-wheeler sales dropped 16.4 per cent to about 1.6 million vehicles.
The two biggest passenger vehicle manufacturers in India Maruti Suzuki India (MSIL) and Hyundai Motors India (HMIL) posted a low 1 per cent and 4.8 per cent growth respectively in domestic sales during the month.
Depending on the engine capacity, the cost of diesel cars could be significantly higher by anywhere between Rs 1 lakh and Rs 2.5 lakh. Initial estimates show customers will need to pay somewhere around Rs 25,000-60,000 more for petrol cars.
In his budget 2016 speech, the Finance Minster announced 1 per cent infra cess on all cars and an additional 2.5 per cent tax on diesel cars of all capacities. There’s an additional 1 percent tax on luxury cars and 4 per cent on SUVs.