KATHMANDU: In earlier years, the automobile market used to be lively at the start of the festival season. Car showrooms were crowded with customers, and sellers were busy attracting buyers and closing deals. Dashain and Tihar are considered the main season for the auto market, when businessmen made most of their annual sales. Overall, the market was vibrant.
This year, the situation is different. The auto market is facing problems during the main season. Vehicle sellers have been forced to deal with difficulties and losses.
No showrooms left for selling cars
During the protests on September 9 and 10, dozens of car showrooms across the country were set on fire and vandalized. Businessmen faced losses worth crores of rupees. Thapathali, known as the auto hub, now looks deserted.
Most of the showrooms have been destroyed. Maruti Suzuki, Mahindra, Tata, Xpeng and Aion showrooms were burned. Hyundai, Citroen and others were vandalized.
Entrepreneurs now have to rebuild their showrooms during the peak business season. Since reconstruction takes time, sales have been badly affected. The morale of businessmen has also dropped.
Many are not confident about reinvesting after suffering heavy losses. The lack of security and the uncertain political situation have raised concerns about the future.
Delivery of booked vehicles in doubt
For the past two to three years, auto dealers were already struggling. The slowdown in the economy had cut sales by more than half. Recently, the market had started to recover. Imports and sales were increasing. Thousands of vehicles were booked during the Naima and NADA auto shows in July and August.
Now, dealers are worried about losing those sales. Importers bringing vehicles from India are not facing issues. But those relying on China are stuck. Around 65 % of cars imported into Nepal come from China. Both the Rasuwagadhi and Tatopani border crossings have been closed for the past two months. Thousands of vehicles remain stuck on the way.
Out of the 1,300 meters of road washed away by floods in Rasuwagadhi, 200 meters are still blocked. A bailey bridge is under construction, but it will take a few more weeks. At Tatopani, landslides continue to block a 100-meter stretch near Iku. The Kodari Highway near the customs point is also closed.
Some businessmen have started bringing vehicles through the Korala border. But this route is costly and time-consuming. Transport costs are several times higher and delivery takes much longer.
Auto dealers face a sense of statelessness
Auto entrepreneurs say they feel stateless. On one side, their property is not secure. On the other, roads remain closed. They say the government has not taken action even after two months of road closures.
“It has been two months since the Rasuwagadhi and Tatopani routes were closed. The government has not reopened them. We are left waiting. Vehicles remain stuck. We are unable to deliver cars booked during auto shows. Business is in shambles,” a businessman told MeroAuto.
He added that Korala is not an easy option. “Dashain is here, but our vehicles are stranded. Diverting them to Korala costs much more and takes too long. Losses from vandalism have already hurt us. With the political situation still uncertain, we cannot do business with confidence,” he said.
