Pricey fuel to affect auto industry’s recovery: Siam
NEW DELHI: The auto industry has raised a red flag over the spike in fuel prices and said that expensive petrol and diesel will hit demand for cars and two-wheelers, while leading to strong inflationary trends as freight costs go up.
The concern comes at a time when the industry grapples with uncertainties around the coronavirus pandemic, and possibility of a third wave.
Kenichi Ayukawa, the CEO of Maruti Suzuki who is also the president of industry body Siam, said that with petrol retail prices staying over Rs 100 in many parts of the country and diesel upwards of Rs 90, the sales of cars and two-wheelers will be hit.
