FADA warns of stock build-up, seeks inventory discipline by automakers to protect dealer viability

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Indian auto dealers are facing financial strain due to high inventory levels, thin margins, and rising costs associated with electric vehicle transition and digitalization. The Federation of Automobile Dealers Associations (FADA) is urging automakers to implement inventory discipline and address concerns over the lapse of compensation cess post-September 22, which could impact working capital and festive sales.