Indian Automobile Industry Sees 7.3% Growth in Domestic Sales

Mumbai: The Indian automobile industry reported a 7.3% growth in domestic sales for the fiscal year 2024-25, driven by healthy demand, infrastructure investments, and supportive government policies. Exports rose by 19.2%, reflecting strong global demand.

• Passenger Vehicles: Sales reached 4.3 million units, growing 2% compared to the previous year. Utility Vehicles (UVs) drove growth, contributing 65% of total PV sales.
• Two-Wheelers: Sales grew 9.1% to 19.6 million units, driven by improved rural demand and new model launches.
• Three-Wheelers: Sales reached 7.4 lakh units, growing 6.7% compared to the previous year, driven by demand for last-mile mobility solutions.
• Commercial Vehicles: Sales declined 1.2% to 9.6 lakh units, although the last quarter of FY 2024-25 saw a growth of 1.5%.

Total EV registrations reached 1.97 million units in FY 2024-25, growing 16.9% compared to the previous year. Electric Passenger Vehicle registrations crossed 1 lakh units, registering a growth of 18.2%.

The industry is expected to continue its growth momentum in FY 2025-26, driven by stable macroeconomic conditions, proactive government policies, and infrastructure spending. A normal monsoon and recent policy interventions are expected to support broader economic activity and auto sector demand.