Diesel no longer driving car sales: PVs formed 17% of total sales in April-October 2020

The sales share of diesel engine passenger vehicles (PVs) has dropped to its lowest in recent history — as per data provided by the Society of Indian Automobile Manufacturers (SIAM). In the April-October 2020 period, diesel PVs formed just 17% of total sales, down by half compared to the same period last year (33%). The drop is especially stark in hatchbacks and sedans (just 2% of total sales, down from 14%), and in vans (4%, down from 13%). It is only in the utility vehicles (SUVs plus MPVs) space where diesel still has a good demand (43%, but down from 71%). Overall, the sales share of diesel PVs has reduced from 40% in both FY17 and FY18, to 36% in FY19 and 29% in FY20. Analysts argue it was bound to happen, due to the decreasing fuel price gap between diesel and petrol, carmakers pulling out diesel models with the shift to BS6 emission norms from April 2020 onwards, and petrol cars getting more fuel efficient.

The full article was originally published on Financial Express