BS4 deadline extension has been quashed by the Supreme Court and as a result FADA has asked OEMs to supply only BS6 vehicles now!
In October 2018, the Supreme Court announced 31st March 2020 as the last date to sell and register Bharat Stage 4 compliant vehicles. From 1st April 2020 only vehicles conforming to Bharat Stage 6 emissions can be sold by companies.
BS4 Deadline Extension
Considering the current prolonged slowdown in the industry and the economy as a whole, many dealers are sitting on a big pileup of Bharat Stage 4 products. Federation of Automobile Dealers Association (FADA) went to the court seeking extension in selling and registering of BS4 stocks beyond the current deadline.
This application has been rejected by the Supreme Court and it has reaffirmed that 31st March will remain as the deadline for BS4 vehicles. As a result, FADA President has asked all the dealers to plan the liquidation of its current stock as soon as possible before the deadline.
FADA has also appealed to all manufacturers for a complete shift to BS6 dispatches with immediate effect. It has asked them to stop billing any more BS4 vehicles as selling 100 percent of the current BS4 stock lying with dealers will itself be a ‘tough task‘!
Almost all two-wheeler manufacturers have started launching BS6 versions of their existing products but none of them have officially announced that they have stopped production and dispatch of BS4 versions completely.
It will be a very strategic move as there can be significant impacts on sales for the month if everyone else shifts to BS6 leaving one or two rivals with BS4 products – as there is a significant price difference which is specially higher for entry level variants which are generally the volume churners for everyone.