1. Post GST truck & CV movements have improved by anywhere between 30-40% due to removal of hurdles at border checks.. this has improved existing vehicle utilization by 30%
2. Govt has increased the allowable tonnage load by 25%
1/n
4. this means for existing fleet to reach optimal utilization, it needs 50-60% more load than earlier before new vehicles can b planned
5. Regulation change from BS4 to BS6 wef from 1/4/2020
2/n
7. This means any uptick in CV has 2 happen if cmpys get BS6 ready vehicles out into the market before 1/4/20..
3/n
9. this will need more funds at affordable int rates to spur growth (some action from govt n banks is seen now)
10. govt has eased norms for PSBs lending to NBFCs which wl help
4/n
12. + there is spike in insurance cost frm 1 to 3 yrs at time of buying
13. some states hv spiked Registration charges
14. fear of reduced resale value once EV settles down
5/n
6/n
17. those who have a robust SUV pipeline will do well in urban areas in coming yrs
7/n
19. Auto industry has met with regulations, policies & demand estimation / planning headwinds all at same time hence the turmoil
8/n
key is to be patient..
9/9