“Car purchases in India are largely limited to the top 12% of households with an annual income exceeding Rs12 lakh, while even small cars have become unaffordable for the remaining 88%.”
Congress general secretary in-charge of Communication Jairam Ramesh (Photo: ANI)
The Congress on Saturday raised serious concerns about what it said as stagnation in the automobile sector.
“Overall passenger vehicles sales growth between 2023-2024 and 2024-25 was only 2%. Growth for the upcoming year is also anticipated to be only 1-2%. The root cause of this slowdown is the widespread real income stagnation for the majority of India,” Congress general secretary Jairam Ramesh said in a post shared on the social media handle X, quoting media reports.
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“The entire nation is still in a state of great anguish and shock. The brutal terror attack in Pahalgam has cast a long shadow on our lives….Even so, we cannot but take note of what the Chairman of Maruti Suzuki India has said today, which has a great bearing on the economy.
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“Car purchases in India are largely limited to the top 12% of households with an annual income exceeding Rs12 lakh, while even small cars have become unaffordable for the remaining 88%,” a Business Standard report said Friday quoting R C Bhargava, chairman of Maruti Suzuki India Limited (MSIL).
Asserting that that car purchases in India are largely limited to the top 12% of households – those with an annual income exceeding Rs 12 lakh,” Mr Ramesh observed that “even small cars have become unaffordable for the remaining 88 per cent, with the sales of small cars declining by about 9%.”
“Auto-tech platform CARS24 has laid off around 200 employees from various departments, including product and technology, as part of a strategic pullback from certain projects,” The Economic Times reported, citing an internal message from co-founder and CEO Vikram Chopra.
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