Auto cos to move SC for registering BS-IV vehicles
Owing to the slowdown that the auto industry is facing in clearing inventory at a time when the whole country is grappling with Covid-19 outbreak, automobile manufacturers and dealers are planning to approach the Supreme Court. The industry wants to seek an extension to the deadline (31st March, 2020) beyond which they cannot sell Bharat Stage-IV vehicles since India will be switching to BS-VI emission standards from April 1, 2020.
“We are compelled to approach the Supreme Court once again following high unsold BS-IV inventory. There is distress among two-wheeler dealers because of the high stock levels, and low walk-ins to dealerships due to the coronavirus outbreak,” FADA vice-president Vinkesh Gulati told reporters. The industry lobby is expected to approach its members first and get their consent before taking the next step.
While the auto industry has been witnessing its worst sales slowdown for more than a year now, the situation has been made worse by Coronavirus as customers are not coming out to engage, leading to impact on vehicle sales and inventory.