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The Economic Times

Economy / The Economic Times

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More cars, thinner margins: Why rising sales arent boosting automakers profits

Indian car makers see strong sales volumes, but profits are declining. Rising commodity prices and currency shifts are impacting manufacturer margins. Maruti Suzuki's profits fell despite record sales, showing margin erosion. Tata Motors and Hyundai also reported lower profits due to cost pressures. Automakers are investing heavily in new technologies and plants, affecting current earnings.

24 Aug 2026 3:16 pm