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Quote on Auto Sales for the month of October 2022 By Saji John, Research Analyst at Geojit Financial Services

"The shortage of electronic component and lower truck fleet utilization had a minor impact on the production of passenger and commercial vehicles(CV). As a result, on average segment marginally declined by -5%/-7% sequentially. In addition, Global uncertainties and currency fluctuation continues to poise pressure in the 2W (Two-wheeler) & PV( Passenger vehicle) export sales. While Good monsoon, festivity, increased farm activity has supported the domestic 2W and tractor sales, which grew by average 10% & 7% YoY. Going forward, we anticipate that, despite a robust order book in specific models and pend up demand there are number of potential challenges, including Interest cost, liquidity, high input cost and affordability. We have a neutral stance on PV/2W sales, and positive on CV due to seasonally favourable"

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