Retail sales of automobiles plunged into negative territory in April after six months of growth as the raging second wave of the pandemic and lockdowns across states crimped consumer sentiment and demand.

Showroom sales of passenger vehicles fell 25.3 per cent sequentially to 208,883 units during April, showed data issued by the Federation of Automobile Dealers Associations (Fada) on Monday. Vehicle sales were hit initially due to lockdown measures imposed in Maharashtra to contain the spread of the pandemic. Several other states started taking similar steps from the second half of April, further impacting sales.
Vehicle sales are usually compared on a corresponding basis, but in April last year, automakers had to close their factories and showrooms as the Union government imposed a strict nationwide lockdown from March 18. Subsequently, operations remained suspended till the first week of May and, in some cases, till early June.
Vinkesh Gulati, president of Fada, said registrations of new vehicles in April fell in double digits on a month-on-month basis as most states initiated lockdown measures either partially or fully from the first week of April. It began with Maharashtra, followed by Chhattisgarh, Delhi, and Rajasthan, among others.