The lockdown has affected all types of businesses around the world. The Indian market is also affected, especially the automotive sector. Even the production facilities were closed and the dealerships suffered massive losses. The car rental business has also suffered severely as a result of the lockdown. Here is a video from Ludhiana, Punjab where the owner of a luxury car rental company shares his story.
The video from OTV shows the luxury cars parked in front of a car rental office in Ludhiana. The cars are gathering dust as there is no demand for such vehicles in the market due to the lockdown. The video shows a variety of vehicles including a Chrysler sedan, Jaguar XF, Range Rover, and other high-end cars like Audi and Mercedes-Benz.
Also read: India’s first Maruti Baleno with “air suspension” looks stunning (video)
The owner or caretaker of the business says they also have cars like Hummer, 2 sedans, a Bentley and even sports cars. They have a total of 12 cars. These cars are primarily for renting out to marriages. Since the pandemic, there has been a cap on the number of guests in marriages and most consider it a minor matter.
Therefore, there is no demand for such high-end vehicles in the market and the cars gather dust in the open air. The charge for these vehicles can range from a few thousand per hour to several hundred rupees for a full day. But after the second wave there is absolutely no demand for such vehicles in the market.
NRIs have influenced the business
The person also says that the Non-Resident Indians, or NRIs, demand such vehicles the most. But now the flights to and from many countries are not allowed and that has also prevented the NRIs from coming to India. Much of the high-end car rental business is powered by the NRIs visiting the country.
India is now preparing for the third wave, which is expected to take place around the end of the year during the Christmas season. If the third wave causes just as much destruction as the second wave, companies may be affected even more in the future.
Automotive business affected
The pandemic has hit the automotive business pretty hard. The manufacturers had to completely close the factories last year due to the nationwide lockdown. Also this year many manufacturers closed their plants in various states of India for a few weeks. However, the car dealerships stayed closed for much longer.
Many automobile manufacturers had to postpone the market launches because of the pandemic. The unavailability of semiconductors has also caused many problems for automakers in India. Some manufacturers were unable to deliver cars on time due to the problem, while others manufacture cars without some features.
Also read: Tata Nexon goes off-road in the Himalayas (video)
