Ola, Uber also responsible for the auto sector downturn

Metro - taxi cheaper than monthly installment: New pollution and traffic laws also cause: Finance Minister absurd: Chairman of Maruti

New delhi date. September 10, 2019, Tuesday

The automobile sector is facing a recession. Many companies have stopped production for several days. The jobs associated with this sector are also at risk. In this scenario, Finance Minister Nirmala Sitharaman attributed the change in people's thinking and BS-6 model to the slowdown in the auto sector.

The Finance Minister has stated that a number of factors are responsible for the slowdown in the automobile sector, including BS-6 movement, issues related to registration fees and changes in public opinion.

Sitharaman says that today people are more likely to use the metro and Ola-Uber instead of paying for the car's EMI. However, he acknowledged that downturn in this sector is a serious problem and must be resolved.

Nirmala Sitharaman said this while talking to reporters on the occasion of the completion of 100 days of the Narendra Modi government's second term. The Finance Minister said that we are serious about the problems of all sectors and necessary steps will be taken for all sectors. This government will listen to all. Two major announcements have been made in August and September and necessary decisions will be taken in the future as well.

However, Maruti Suzuki chairman RC Bhargava has denied that sales of cars have declined due to Ola. He said that government policies are responsible for not slowing down the sale of cars but not Ola or Uber.

Bhargava said people are refusing to buy cars even due to high tax rates and road tax on petrol-diesel. However, he has stated that reducing the GST will not increase the sales of cars. Safety measures such as airbags and ABS systems in cars have increased the price of cars that are far beyond the reach of two-wheelers.

Bhargava has said that Ola, Uber is not responsible for it, but strict security rules, high cost of insurance and excessive road tax are reducing sales of cars. It is noteworthy that sales of cars declined in August for the tenth consecutive month. However, not only is car sales declining, sales of two-wheelers and commercial vehicles have dropped significantly.