Pre-budget jitters over budget tax rises on new cars spurred sales in India 13.11% to 211,402 units last month.
“People are expecting increase in car prices after the budget [this week] as the government may roll back [the] 2% excise concession given as stimulus during the 2008-9 slowdown,” SIAM director General Vishnu Mathur told the Economic Times of India.
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Potential buyers were also worried diesel cars may cost more after the budget as additional taxes may be imposed on them.
“So, the growth witnessed in February was primarily driven by customer’s advancing their purchases ahead of the budget,” he said, adding that there were also may discounts, mainly on petrol vehicles.
Maruti Suzuki India sold 94,118 vehicles, up 7.13% year on year, in February.
Hyundai Motor India’s sales grew 12.78% to 36,658 units and Tata Motors volume rose 5.46% to 28,236 units.
