Rising fuel prices accelerate demand for CNG vehicles
Rising fuel prices have accelerated demand for CNG vehicles in the country. Accordingly, the availability of CNG in more cities has supported this trend.
“Demand for CNG vehicles remains strong, benefiting from surging fuel prices and increased CNG penetration in newer cities,” said Motilal Oswal Financial Services (MOFSL).
“Inventory in the system is 10-20 days.”
According to MOFSL, the retail demand evolution has been a mixed bag since the lifting of the second lockdown from mid-June 2021.
It pointed out that demand has bounced back quicker for ‘PVs, but 2Ws’ have seen slower recovery.
Besides, ‘CVs’ are expected to see healthy recovery from October 2021, the outlook for tractors is cautious due to the very high base of last year.
