Brand New Vehicles Turning to Waste – The Uncertain Future Looming Over Unsold BS-IV Inventory in India

We are a few weeks away from the implementation of the brand new BS-VI norms in India. After skipping BS-V emission norms, the Government will likely be implementing the brand new norms inside three years after it launched the BS-IV norms in 2017. Such an enormous shift has certainly put a whole lot of stress on the producers to shell out large quantities of cash in an effort to make their product portfolio compliant to the brand new norms. So if you’re questioning what’s going to occur to the remaining BS-IV autos within the producers’ inventories, right here is your reply.

According to the Supreme Court ruling, no BS-IV compliant autos shall be offered or registered after April 1 this yr. Auto firms which nonetheless have BS-IV autos of their stock don’t have any different possibility than to promote it earlier than the brand new emission kicks in. Failing to do that pressure them to scrap their autos, amounting to large losses. And in an effort to seize a handful earlier than the brand new norms kick in, firms at the moment are saying huge reductions on their unsold BS-IV vehicles.

In the newest growth relating to the brand new emission norms, the Society of Indian Automotive Manufacturers (SIAM) has requested the Supreme Court to permit the sale of BS-IV autos until the top of March. According to SIAM, the closing dates ranges from February 29 to March 25, from state to state, although BS-VI emission compliance is remitted from April 1, 2020. “These circulars have put the customers, dealers and vehicle manufacturers in severe discomfort, as each of them is racing against time to exhaust the BS-IV stocks which are with the dealers.”.

To have a extra detailed clarification concerning the distinction between BS-IV and BS-VI click on right here.