Fuelled by GST rate cuts, car sales hit top gear in festival season
- IBEF
- October 3, 2025
Domestic passenger vehicle (PV) wholesales in India rose 5.4% YoY to 3,81,437 units in September 2025, supported by the goods and services tax (GST) rationalisation and festive demand. Retail volumes were even stronger at nearly 4,00,000 units, up from 3,20,000 units last year, according to Senior Executive Officer (Marketing and Sales), Maruti Suzuki, Mr. Partho Banerjee. The company reported a 9.1% rise in domestic wholesales to 1,44,962 units, with bookings crossing 3,50,000, up 35% from a year ago. The newly launched sport utility vehicle (SUV) Victoris drew 25,000 bookings, while retail sales surged 27.5% YoY to 1,73,500 units. Tata Motors climbed to second place with 59,667 units, a 45.3% jump, while Mahindra & Mahindra (M&M) reported 56,233 units, up 10.1%, and Hyundai slipped to fourth with 51,547 units, a marginal 0.9% rise. Maruti also posted record exports of 42,204 units, a 52.2% increase.
The festive season triggered strong demand but created logistical challenges, with carmakers facing delays in vehicle dispatches post the GST changes. Senior Executive Officer (Marketing and Sales), Maruti Suzuki, Mr. Partho Banerjee, said trucks now take nearly 20 days for a round trip, though normalisation is expected by October 10. Managing Director, Tata Motors, Mr. Shailesh Chandra, termed September 2025 a “watershed month” with total PV sales, including exports, at 60,907 units, up 47% YoY. Its electric vehicle sales surged 96% to 9,191 units, while CNG vehicle sales rose 105% to 17,800 units in Q2 FY26. M&M reported 1,00,298 total vehicle sales, up 16%, led by SUVs and commercial vehicles, while two-wheeler majors also saw gains: Hero MotoCorp rose 5% to 6,47,582 units, TVS Motor grew 12% to 4,13,279 units, and Bajaj Auto was up 5.3% at 2,73,188 units.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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