Honda Cars India Ltd. (HCIL), leading manufacturer of premium cars in India, has finally announced its sales report for May 2019 and the automaker has reported declining sales for the second consecutive month. Notably, the Honda Cars India sold 11,442 units last month, a drop of 27 per cent in year-on-year sales when compared to 15,864 units that were sold in May last year when all new 2nd gen Amaze was launched.
The Japanese car maker also exported 450 units in May 2019, down by 12.7 per cent from 516 units exported in May last year.
Speaking on the declining numbers, Rajesh Goel, Senior Vice President and Director, Sales and Marketing, Honda Cars India said, "The market continues to be tough for the auto industry with two consecutive months of such a high de-growth. It is unprecedented in the last two decades. After elections, we were expecting an upswing which has not yet come.”
“Factors like liquidity that is affecting capital to auto sector along with an increase in fuel prices have remained a challenge to revive consumer sentiments. We are still hopeful that demand will revive due to pent up demand, favourable indicators on monsoon and expected actions by the new government," he added.
In May last year, Honda had favourable volumes on the back of the launch of the second generation Amaze subcompact sedan. Last year, the Japanese car maker has had some major launches including the new generation CR-V and the all-new Civic sedan. This year, Honda is expected to bring the new HR-V compact SUV as well in India that will take on the Hyundai Creta, MG Hector, Tata Harrier and the likes.