India Passenger Vehicle Sales Hit Record February High

Passenger vehicle sales in India rose 10.6% year-on-year in February 2026, accelerating from an 8.0% gain in the previous month and marking the highest sales ever for the month, at around 418 thousand units. Fresh data from the Society of Indian Automobile Manufacturers (SIAM) showed the increase was supported by the extended impact of last year’s tax policy change and strong festive-season demand. Looking ahead, March could still see support from festival-related purchases in several parts of the country. However, the recent conflict in West Asia remains a key concern, particularly for supply chains, which could disrupt manufacturing and export activities. “Industry will keep a close watch on evolving geopolitical developments,” said Rajesh Menon, Director General of SIAM.

Total passenger vehicle sales in India increased 8% year-on-year to 379,394 units in January 2026, following a 29% jump in the previous month, according to data from the Society of Indian Automobile Manufacturers (SIAM). The figures exclude sales from BMW, Mercedes-Benz, Jaguar Land Rover (JLR), and Volvo. The increase was supported by sustained demand following the GST rate reduction. “The initiatives announced in the Union Budget 2026 to strengthen India’s manufacturing base, along with existing policy tailwinds, are expected to deliver long-term benefits for the sector and support growth in the medium term,” said Rajesh Menon, Director General of SIAM. However, on a monthly basis, passenger vehicle sales fell 15.6%, after declining 1.6% in December.

Total passenger vehicle sales in India surged 29% year-on-year to 349,170 units in December 2025, following an 18.1% rise in the previous month, according to data from the Society of Indian Automobile Manufacturers (SIAM). The figures exclude sales from BMW, Mercedes-Benz, Jaguar Land Rover (JLR), and Volvo. The increase was supported by festive demand and recent reductions in the GST rate and repo rate. Looking ahead, the industry expects the positive momentum to continue well into 2026, supported by stable macroeconomic conditions, improving affordability, and continued policy support. “The industry will also continue to monitor geopolitical developments to ensure resilience in the supply chain and export volumes,” said Shailesh Chandra, President of SIAM. However, on a monthly basis, passenger vehicle sales dropped 1.6%, after plunging 11.2% in November.