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Dolat Capital Report
Automobile sector is facing a double whammy due to the shortage of semiconductors and rising raw material and fuel costs.
Although retail demand is improving month-on-month, worsening chip shortage crisis continued to hit dispatches especially in passenger vehicles and two-wheelers (premium segment).
However commercial vehicle and two wheelers to see month-on-month improvement.
In passenger vehicles, semiconductor shortage deepened amid mounting coronavirus infections in south-east Asia, especially Malaysia and Vietnam which are back-end chip testing and packaging regions.
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