The Indian automotive industry plays a vital role in our nation’s economy. It’s the 4th largest producer of vehicles. It’s globally a great contributor. A major hub for manufacturing items and components. The industry is growing rapidly with its shift in increased demands and production. Specifically, the Made in India initiative is growing massively. It is also attracting a lot of foreign investments. The EV market is also making a big stir in the market.
The Industry saw unparalleled success this festive season. Major carmakers reported momentous record sales and motor vehicle deliveries. There has also been a widespread growth that pertained to just one company, but several manufacturers benefited from the same.
The consumers have also gained a lot of confidence and enthusiasm, which has surged. Especially during the festive season, which is considered auspicious to purchase a dream asset. A buoyant market environment was seen with an increase in bookings, sales, and deliveries.
Synchronized Success
Affordability is Such a Boon
The recent GST reforms were such a Diwali blessing for so many. Reduced vehicle prices gave such a great motivation for those who dreamt of a car and for companies to see a solid boost in their sales. The timing was just perfect!
In this auspicious time frame and festive season, people believe in buying their dream asset, especially a car. It has a cultural and spiritual significance. They believe in starting their new journey with the blessing of Maa Laxmi. Dhanteras is a day when India sees massive sales every year. Well, this year was all the more super duper for all. So well-coordinated a piece of coincidence. It also gave the automakers a long window period to deliver and capitalize on the increase in demand.
Discounts were given in large quantities. From freebies to special edition vehicles, it attracted many customers. An increase in demand was seen in two-wheelers, EVs, SUVs, and entry-level vehicles. Overall, it was a strong sale across the country.
It Was Truly Diwali
As soon as there was a Diwali Bonanza declared by the government, there was a sudden thrill and surge in the bookings. About 4.5 lakh bookings for small cars are approaching one lakh units, and retail deliveries reached up to 3.25 lakh units in just a month.
In just a single day during the festive season India sold over 1 lakh cars in just a single day. That means approximately 70 cars were sold per minute. Whoa, now that’s what we call a real Diwali.
Maruti Suzuki believes that the spirit was high for customers as their buying behaviours changed and demands increased. In fact, the company itself delivered 51,000 vehicles on Dhanteras itself, which is about 35 cars per minute just for that day. It was the highest and biggest ever festive sale. 4.5 lakhs of bookings post the new GST rates were announced.
Maruti Suzuki Pvt Ltd has to work extra hours to fulfill the unprecedented, sudden demands. It saw great success of over 50% which is higher than last year.
Along with Maruti Suzuki Pvt Ltd, other companies also did superbly well. Tata Motors saw a 33 % year-on-year growth by delivering one lakh passenger vehicles.
Nexons, Punch, and EVs have a huge demand. Well, we all know that SUVs are on the way to the highway.
Hyundai Motor India was no less than others in having record sales. They delivered around 14,000 cars and saw a rise of 20% over the earlier years. The venue was in full demand.
Mahindra and Mahindra, Kia India, and Toyota Kirloskar Motors hit the sales of over 35,000 deliveries. From the Mahindra Scorpio N to the Kia Seltos, no one was left behind.
2025 Was Quite Progressive
July had a good sale of about 301,251 passenger vehicle units, following the month of August with 1,80,000 vehicles sold. Manufacturers saw a growth in monthly sales. September was the start for Maruti and Tata Motors with hitting a good sales record. Bringing them to the festive vibe, it blew up the records by 1lakh sales during the 30 days.
The trend has hit the chord, and the interests and demands are soaring high. Post Diwali, too, the Automobile sales and bookings have continued. The momentum is at its topmost sales speed due to the amazing festive season benefits India observed due to the GST reforms. Demands have sustained, and so there shall be a solid increase in demand for small cars to SUVs, to EVs. Affordability has given rise to new buyers from the urban as well as rural markets.