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The year 2016 had been a momentous year for the India car market which not only witnessed the launch of some highly acclaimed vehicles in from Maruti Suzuki Baleno, Renault Kwid 1.0 litre, Toyota Innova Crysta, Tata Tiago, Mahindra Nuvosport etc. Apart, from various launches the year also witnessed the happening of an important event of Indian Auto Industry, The Indian Auto Expo 2016, held in the month of February creating new standards for up-coming Auto Shows in the history of Indian Auto Expo’s.

 

Besides, all these launches the year also witnessed happening of some historical moments which influenced the sale of vehicles in market to huge extent. So, today instead of discussing the features of new cars or discussing the terminologies associated with cars, let us have a look on incidences which created fuss among the car enthusiasts not only in India but among the entire world, especially in front of all major car makers who consider India as emerging market for their vehicles. 

 

1. Ban on Diesel Vehicles in Delhi/NCR Region:

Last two decades have witnessed not only increase in the number of car throughout the country, but also resulted in the emergence of pollution to the huge extent. To cope this problem despite of various efforts made by governments in different state, no government succeed in controlling the problem. Finally, it was in the beginning of next year when National Green Tribunal (NGT) for the first time restricted the entrance of diesel vehicles in Delhi and NCR region which have displacement capacity of more than 2000cc. According to reports this decision was taken on the basis of study conducted by the students of IIT Kanpur revealing that diesel engines with high efficiency are reasons of pollution in Delhi and NCR Region.

 

 

To oppose this decision all renowned car maker together filed a pit in Supreme Court, after which the ban was lifted by SC on the condition that the manufacturers of such vehicles will be required to pay green tax for driving their vehicles in these regions. 

 

2. New Motor Vehicle Amendment Bill:

Finally the Motor Vehicles (Amendment) Bill 2016 was passed by the Ministry, recommending strict changes to be made in laws and fines to ensure safety norms at roads. The implementation of recommendations made in bill is speculated to minimize the number of road accidents and injuries to huge extent.  So, now next if you ever tried to break any traffic law you will be required to pay the fine which you have never even imagined in your dream. 

 

3. Formulation of New Safety Norms:

When it comes to implementation of car safety norms in India we still need to work a lot in this direction. But, now the things have started changing. Now every new car before launching will have to under-go crash test to ensure safe traveling experience to the passengers. The crash test norms determined by Automotive Research Association of India (ARAI) the Indian car crash test for new cars in India will come into effect from October 1, 2017. Interestingly, this rule will also be implemented on the facelift version of existing car models. It is also reported that government is planning to introduce airbags and anti-locking braking system as standard feature in all vehicles from 2020.

 

 

4. Impact of Demonetiation:

The month of November for surprising, stunning and eventful month not only for Indian economy but for all segments of society and car market was not an exception to it. The ban on use of Rs. 500 and Rs. 1,000 notes during the middles of festive season greatly influenced the sales of car. Although, the Society of Indian Automobile Manufacturers considered it as a temporary affect, but going through the sales statistics revealed by various vehicle manufacturers there has been an overall decline of 5.48% in sales of all sorts of vehicles during the month of November. However, with passing days the situation improved significantly with various relaxations and positive approach adopted by the vehicle manufacturers.