Vehicle sales in India hit as automakers struggle amid chip shortage

Vehicles sales across multiple categories in India have been hit by the global semiconductor shortage. The demand-supply mismatch due to lower production could hurt automakers during the festive season.

Vehicle sales in the country have been hit as automakers struggle to cope with the ongoing global chip shortage. The latest data released by the Federation of Automobile Dealers Association (Fada) suggests a decrease in vehicle retail sales.

As per the data, total vehicle retail sales for the month of September 2021 was down 5.27 per cent on a year-on-year (y-o-y) basis. Compared to September 2019, sales were down 13.50 per cent last month.