Pushed by a stellar present within the rural market, passenger automobile retail gross sales for the month of January zoomed 7.22 per cent to 513,475 models versus the identical month final yr, information shared by the Federation of Car Sellers Associations (Fada) on Tuesday confirmed.
General car retail gross sales (together with passenger autos) too elevated by 17.6 per cent to 2.72 million models. The expansion was powered by continued post-GST momentum, wholesome rural money movement on the again of harvests and weddings, and sustained demand visibility throughout mobility and freight.
Although the passenger automobile combine nonetheless stays urban-led at 59.2 per cent, with rural at 40.8 per cent, the agricultural market posted a progress of 14.4 per cent through the month versus 2.75 per cent within the city market. Apparently, in an indication of elevated competitors for the quantity two slot, Hyundai Motor grew to become the second-largest carmaker after a number of months with a market share of 12.84 per cent (65,914 models), adopted carefully by Tata Motors with 12.38 per cent (63,558 models), and Mahindra & Mahindra at 12.34 per cent (63,366 models). Maruti Suzuki continued to be the primary participant with a 42 per cent market share and gross sales of 216,043 models, up marginally from 214,494 models in January 2025.
“This reinforces the structural growth of passenger automobile demand past the highest cities, aided by a powerful SUV and compact SUV desire, revival of entry-level vehicles, product availability and continued schemes. Crucially, passenger automobile stock ranges continued to melt to 32–34 days, which is a constructive indicator of more healthy channel self-discipline and improved working capital effectivity throughout the community,” mentioned C S Vigneshwar, president, Fada.
Throughout the month, two-wheelers led the cost with gross sales of 1.85 million models (up 20.82 per cent year-on-year). Importantly, the demand engine of two-wheelers stays anchored in Bharat, with the agricultural share at 56 per cent versus 44 per cent in city areas. “Whereas rural volumes stayed sturdy with a 19.77 per cent progress year-on-year, supported by Pongal, Makar Sankranti, marriage-season footfalls and higher affordability, we’re additionally seeing a transparent revival in city markets, which grew 22.19 per cent — a wholesome sign of demand normalisation past festive-only shopping for,” Vigneshwar mentioned. Seller suggestions factors to robust enquiry momentum pushed by sharper buyer engagement, faster digital follow-ups and a visual shift in direction of higher-value and mid-powered bikes, Fada mentioned.
Industrial autos clocked 107,486 models (up 15.07 per cent), reflecting bettering freight sentiment and replacement-led shopping for. The uptrend was seen throughout tonnage bands, with mild business autos at 65,505 models (up 14.94 per cent) and heavy business autos at 34,287 models (up 14.61 per cent), aligning with seller suggestions round stronger items motion, infrastructure exercise and renewed confidence amongst single-owner operators.
Three-wheelers remained resilient, posting a progress of 18.80 per cent. However, building tools continued to stay underneath stress, declining 21.09 per cent in January, indicating a high-base affect and segment-specific recalibration.
“Passenger autos ought to see regular traction pushed by a powerful reserving pipeline, new launch and variant pleasure and continued GST-led affordability, with incremental assist from rural demand through the marriage season. Nonetheless, a excessive base and allocation or manufacturing constraints may make progress extra measured, alongside ongoing concentrate on VIN-wise stock clean-up,” Vigneshwar mentioned.
