Auto volumes: The Slowdown continues.

FY14 is proving to be another difficult year for the Indian auto industry. As can be seen from the chart, volume growth in the first 5 months of FY14 has been very poor for most segments in the auto space. And this is likely to continue unless there is a pickup in economic activity. There are hopes that good monsoons and the festive season will help in providing the much needed boost to the beleaguered sector. But growth will really start accelerating once a meaningful recovery in the Indian economy begins to take shape. Whether this will happen anytime soon remains to be seen though.
  
       

                                *Passenger vehicles, **Commercial vehicles
                                                                Data Source: SIAM