The month of June has been one of the challenging months after March 2017. The implementation of GST has led many automakers like Toyota Kirloskar Motors to hold back stock to dealers so that they can liquidate old inventory first. As a result, growth in the first quarter has moved into slow lane. According to data released by industry body SIAM, sales of passenger vehicles dropped by 11.21 per cent to 198399 units in June compared to 223454 units in the same month last year . Commercial vehicles grew marginally by 1.4 per cent to 56890 units and two wheelers recorded a 4 per cent growth to 1527049 units. Sugato Sen, ?Deputy Director General at SIAM said, "June was a transition month where companies and dealers were trying to liquidate stocks. So June is not reflective of the first quarter. Now the rate and pricing are known after GST, we will come out of this downturn soon." Sales of passenger vehicles grew by 4.38 percent between April-June 2017 over the same period last year. Within the PV segment, passenger cars and utility vehicles grew by 3.89 and 7.53 per cent respectively during Q1 2018 over the same period last year. Vans witnessed a drop in sales of 2.96 per cent in the same period. Commercial vehicles that are still recovering from the pre-buying following the enforcement of the BS-IV emission norms continued to decline 9.08 per cent in the first quarter of the fiscal year 2017.