"We expect sales volume to remain below the peak in FY19," Fitch said. "We believe less stringent curbs and lower business disruption will limit the economic fallout compared with last year. The drop in auto sales volume in 1QFY22 from 4QFY21 will be slower than the decline of more than 70 per cent in 1QFY21. "Fitch believes agricultural fundamentals remain firm, notwithstanding the higher infection rate in the second wave in rural India compared with last year. Indian automakers' margins will improve in FY22 on favourable operating leverage, while price increases will offset higher input prices.

Source: Economic Times June 04, 2021 17:02 UTC