Vehicle registrations in Feb decline 9%: Autodealer association 

"Till the time the Russia-Ukraine conflict doesn’t come to an end, FADA changes its outlook from ‘neutral’ to ‘negative’," the report from the body stated.

On YoY basis, 3-wheeler and commercial vehicle retails were up by 16.64 percent and 7.41 percent on the back of tepid recovery.

Infrastructure spending by the government also contributed to the increased demand for HCVs and tippers in February. HCVs saw a recovery of 20.73 percent YoY.

But 2-wheelers continued to bear the brunt of the distress along with tractors, both suffering from some of the worst contractions.

Registrations of 2-wheelers, passenger vehicles (PV) and tractors slumped by 10.67 percent, 7.84 percent and 18.87 percent respectively. The waiting period for PVs also significantly impacts retail demand and sales. The almost inevitable hike in fuel prices that will come after the election results in five states is also going to hurt the 2-wheeler segment, but the opening up of the economy may counteract some of the pressure.

"While this will act as an obstacle for 2-wheeler sales, with educational institutions and offices now fully open and Gudi Padwa round the corner, we may see some increased interest in 2-wheeler as well as the bus segment (which has witnessed a long dry spell of almost 2 years)," the report added.