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Car manufacturers report robust growth in sales in March 2012

02 Apr 2012 Evaluate

The expectation of a price rise after the budget has prompted people to buy cars before the end of the fiscal. Consequently car manufacturers have posted record sales for the month of March. About seven vehicle makers have announced healthy sales in March 2012 over the corresponding period a year ago with Tata Motors crossing one lakh unit sales mark.

Car prices are expected to go up in this fiscal as the Finance Minister has announced a hike in excise duty from the current 10% to 12%. As per leading car makers, this hike will lead to an increase in prices upto 3 lakh. The biggest jump has come in for Toyota Kirloskar Motor (TKM) which has reported an increase of 87% in car sales to 18,220 units in March, driven by highest ever monthly sales of its 'Etios' and 'Liva' models.

Tata Motors has reported a jump of 20% in total vehicle sales during March at 100,414 units compared to 83,363 units sold in the same month last year. Its total passenger vehicle sales in the domestic market rose 34% at 36,984 units in March, highest ever in a month, over 27,678 vehicles sold in the year-ago period. In the commercial vehicles segment, the company sold 58,063 units in the domestic market last month against 49,753 units in the same period last year, up 17%.

Mahindra & Mahindra has registered a 25% increase in sales at 47,001 units in March - the highest ever monthly sales number in the history of the company. Similarly, Honda Siel Cars India, joint venture between Japanese auto major Honda and the Siel Group, recorded a three-fold jump in its sales for March 2012 at 11,016 units.

German luxury car maker Audi reported 47% jump at 1,002 units. Two-wheeler maker India Yamaha Motor posted a 14% increase in its total sales at 41,886 units. VE Commercial Vehicles (VECV), a joint venture between the Volvo Group and Eicher Motors, announced a 19.5% rise in its total sales at 6,051 units in March, 2012.

Auto makers like Maruti Suzuki, Hyundai, Tata Motors, Mahindra & Mahindra and India Yamaha had earlier expressed their unhappiness over the government's decision to hike the duties in the Budget.

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Car manufacturers report robust growth in sales in March 2012

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Name of the IA registered with SEBI:	The Alchemists Ark Pvt. Ltd.
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Trade/Brand Name of IA:	MoneyWorks4Me Investment Advisers
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