The new car sales fell 23.8% in Octoberin India, the largest drop recorded there since December of 2000. Thecombination of rising prices, social unrest and costly creditexplains the decline of the third largest market in Asia. We are farfrom 30% growth recorded here another three months!
Some analysts are reassuring, sayingthat repeated strikes have seriously reduced production at MarutiSuzuki, which usually come out about half the cars produced in India.Nearly 138,521 cars were registered in India in October 2011.
In China, sales growth has slowedsignificantly: only 1.4% in October, the lowest rate in five months.Fears that a slowdown in the Chinese Manufacturers' Association tosee the year 2011 ended on an increase of 5%, the lowest rate in fiveyears.
This slowdown can be explained byhigher interest rates, rising fuel prices and a general slowing ofgrowth in construction and industry.