‘Likely single-digit growth in automobile sector is a concern’

PTI Updated - November 14, 2017 at 03:32 PM.

Mr Srivats Ram, Managing Director, Wheels India. Bijoy Ghosh

The likelihood of single-digit growth next year in the car, truck and tractor segment in the country is a concern for the industry, a top official at Wheels India said today. The company is engaged in the manufacture of steel wheels for the automobile industry.

“Looking at the next year, we are expecting GDP growth at 6.5 per cent to 6.8 per cent. This would translate into single-digit growth in the car, truck and tractor segment in India.

“This is a concern as inflation remains at high levels and intense competition means that it will be a struggle to build adequate incremental volume build-up to overcome the cost increases,” Mr Srivats Ram, Managing Director, Wheels India, told PTI here.

He said like last year, the commercial vehicle industry saw a large part of its sales in Q4 this fiscal also. However, the tractor industry has visibly slowed down during the quarter and this was a cause of concern.

Published on March 5, 2012 07:10