It’s a Blue, Blue Christmas for diesel car makers in India

Leading SUV manufacturer in India, Mahindra & Mahindra will be the worst hit by the recent ban on diesel vehicles in the capital city of Delhi from December 11, 2015 to January 6, 2016 as ordered by the National Green Tribunal (NGT). Since the ban is likely to end by January 6, 2016, car dealers will in all probability accept bookings and deliver the diesel vehicles post that ban period. But the 26 days of ban will definitely have an impact on the sales of the popular diesel vehicles.

Delhi is the largest buyer of passenger vehicles in the country and diesel is a favourite among its residents, be it individual buyers or taxi fleet operators. December end and January beginning are periods when Delhi witnesses frenetic purchase of cars by consumers.

Mahindra’s entire fleet comprising popular models like Bolero, Quanto, Rexton, Scorpio, Thar, TUV 300, Verito, Verito Vibe, XUV 500 and Xylo only has diesel engines powering them. It has no petrol powertrain in its portfolio. Isuzu Motor of Japan that makes the Isuzu D-Max and MU-7, Mitsubishi with its Pajero model and Force Motors which sells the Force One and Gurkha too have only diesel engines, but their sales in Delhi is miniscule compared to that of M&M. Car majors like Audi, BMW, Chevrolet, Ford, Honda Car India, Hyundai, Jaguar Land Rover, Maruti Suzuki, Mercedes-Benz, Mini, Nisssan, Skoda, Toyota, Tata Motors, Volkswagen and Volvo Auto India are likely to be severely affected by this diesel ban. Almost all of Volvo’s models sold in India have a diesel mill and ironically their cars are considered to be the safest and cleanest cars in the world!

On December 11, 2015, the NGT had banned registration of new diesel vehicles till January 6, 2016 in Delhi amid rising concerns over pollution in the city. It also told the government not to renew the registration of diesel vehicles more than 10 years old. The NGT decision came a day after Supreme Court said it would examine if diesel vehicles could be banned in the capital. January 6, 2016 is also the next date of hearing on a petition against air pollution in the city.

The three prime sources of air pollution in Delhi as well as NCR, according to NGT are burning of municipal waste, dust generated by construction and vehicular pollution.  The NGT had addressed the issues related to waste burning and construction dust in its previous orders. Sadly, waste burning still continues while construction continues in full force in every corner of Delhi and NCR.

Motown India magazine compiled a list of vehicles that will be affected by this diesel ban.