Union Finance Minister Nirmala Sitharaman on Tuesday said that the automobiles industry is being affected by BS6 (Bharat Stage) and the mindsets of millennial, as reported by news agency ANI. Nirmala Sitharaman, addressing the reporters, stated that it is the mindsets of millennial who are preferring app-based taxi service including Ola and Uber rather than committing to buying an automobile which is affecting the auto sector.
"The automobile industry is now affected by BS6 and the mindsets of millennial, who now prefer to have Ola or Uber rather than committing to buying an automobile," the Finance Minister said.
Nirmala Sitharaman had assured that the Modi government will respond to the demands of the automobile industry in the light of the worst decline that it is facing recently. She went on to assure the buyers and manufacturers in the automobiles industry that vehicles compliant with Bharat Stage IV emission norms registered before March 31, 2020, will be able to run for the entire registration period of the vehicle.
“The automobile industry in India did have its good time, at least till two years ago. There was definitely a good upward trajectory for the automobile sector,” Sitharaman said
She had also stated that the PM Modi-led government has taken landmark steps for India in its second term in order to achieve the five trillion-dollar economy goal in the next five years amid an economic slowdown.
The automobiles industry suffered its worst-ever performance in two decades with the decrease in demand showing no sign of improvement. Domestic sales of passenger vehicles plunged 31.6% in August to 1,96,524 units from the last year, according to data released by the Society of Indian Automobile Manufacturers (SIAM). It was the 10th straight decline in domestic passenger vehicle sales and the worst in the history of SIAM’s compilation of monthly sales data since 1997-98.
Earlier in August, the Union Minister had announced the government's measures to tackle the concerns of the slowing automobile sector. Here are the major steps that were taken by the government as announced by Nirmala Sitharaman on August 23: