NCR registration ban impacts M&M, Toyota in December

The Supreme Court ban on registration of diesel vehicles of 2,000cc and above capacity in the national capital region appears to have impacted sales volume of Mahindra & Mahindra and Toyota. The ban, imposed on December 16 to address deteriorating air quality, is in place till March 31. After reporting sales growth of 19 per cent and 36 per cent, respectively, in October and November last year, M&M's sales in December saw a moderate growth of one per cent. Bulk of the company’s products (such as Scorpio and XUV500) have an engine capacity of over 2,000 cc and have been hit by the ban imposed by the Supreme Court. The story is similar for Japanese car maker Toyota, whose vehicles like the Innova and the Fortuner fall under the ban. Toyota reported sales decline of 10 per cent in December.

“The monthly sales were considerably affected by factors like the ban on registration of diesel vehicles with engine capacity of more than 2,000 cc in Delhi and NCR where Toyota is present significantly," the company said.

Mahindra India