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Hyundai Motors India expects sales to slow to less than 15pc

Hyundai Motors expects Indian sales growth to slow after a strong start this year as taxes on cars and interest rates rise.

Hyundai Motors India Ltd. saw its passenger car sales climb 37 percent in the first three months of the year, as consumers scrambled to get cars before the government lifted taxes on car purchases. The excise duties on small cars were raised to 10 percent from 8 percent at the end of February.

Now that the taxes have been raised and interest rates are rising, Hyundai expects full-year sales growth of between 10 and 15 percent.