Home-grown auto major Mahindra & Mahindra on Wednesday reported a steep 55% fall in total sales at 19,358 units in June.
The company had sold 42,547 vehicles in June last year.
Domestic sales dropped 53% to 18,505 units last month, as against 39,471 units in June 2019.
The company registered a 72% decline in exports at 853 units last month as compared to 3,076 units in the year-ago period.
Sales in the passenger vehicles segment, which includes UVs, cars and vans, stood at 8,075 units as compared to 18,826 units in the same month last year, a drop of 57%.
The commercial vehicle sales slumped 36% to 10,417 units in June 2020 as against 16,394 units in the year-ago month.
"The automotive industry has started to see recovery both in the passenger and small commercial vehicle segments. This has been led primarily by rising rural demand and movement of essential goods across the country.
Our key brands such as Bolero, Scorpio and Pik-Ups, are all seeing good traction," said Veejay Nakra, Chief Executive Officer, Automotive Division, M&M Ltd.
Managing the supply chain will be the key focus area as the company ramps up production to meet the increased demand, he added.