Equirus Securities, a leading financial services firm, has released its auto sales and trend report for June 2025. According to the note, overall 2-wheeler retail sales rose 5% year-on-year, with the Northern region leading the growth at 10%. Electric 2-wheeler (E2W) sales surged 32% YoY to approximately 105,000 units, pushing market penetration to 7.3% in June 2025 compared to 5.8% in June 2024. However, upcoming restrictions on rare earth magnet exports from China could dampen E2W sales in the near future.
Passenger Vehicle (PV) retail sales saw a modest 2% YoY increase, with growth in the East, West, and Central regions staying in the mid-single digits. In contrast, sales in the Northern and Southern regions recorded a slight decline.
Two-Wheeler
The overall 2-Wheeler retails in June grew by 5% YoY with North region growing fastest at 10% YoY. East and West & Central grew by 4% YoY whereas South was up marginally by 1% YoY. Electric 2-Wheeler sales volumes increased 32% YoY to ~105k units. Electric 2-Wheeler penetration improved to 7.3% in June 2025 from 6.1% in May’25 and 5.8% in Jun’24. However, in the coming months, there could disruption in the E2W supply chain due to ban on rare earth magnet exports by China.
Legacy 2W players like TVS Motors (24% market share) and Bajaj Auto (21.8% market share) continued to dominate the E2W market on the back of their network expansion efforts. TVS motors also slashed the prices of its E2W and increased the battery capacity of some of its variants in May’25 which has helped it to increase its market share. TVS Motors tops the E2W market for 3rd consecutive month and Q1FY26.
Hero MotoCorp is gaining market share (7.3% in Jun’25 Vs 7.1% in May’25 Vs 3.9% in Jun’24) post its model transition to Vida V2 range which includes a newly introduced affordable scooter (sub-one lakh). Hero Motocorp’s network expansion for its E2W has also helped it increase its market share. Ola Electric’s sales were down ~45% yoy and had a market share 19.2% in Jun’25, which was down considerably from 46.1% in Jun’25. Ola also began customer deliveries of its Roadster X electric motorcycle in May’25. Bajaj Auto’s CNG bike has failed to gain significant traction so far with sales of just ~3.1k units in Jun’25. The limited availability of CNG stations in many areas, along with customer hesitation in adopting new technology, has led to the overall poor response to the CNG bike so far. However, there is some traction for the CNG bike among gig workers in urban areas.
Three Wheelers
The share of CNG has been on a declining trend over the last one year and stands at 25%in Jun’25 Vs 30% in Jun’24 whereas the share of E3W has increased to 60% Vs 55% in Jun’24. However, month on month, the share of CNG has increased by 230bps whereas the share of Electric 3W has decreased by 300bps during the same period. Bajaj continues to dominate the CNG market with 87% market share in Jun’25. Electric 3-Wheeler sales in Jun’25 was ~60.5k units increasing 16% YoY. E-Auto sales was at 17k units increasing 55% YoY.
M&M remains the dominant player in the E-Auto market, holding a 43% market share in Jun’25. After a period of consistent market share decline in H1FY25, the company had stabilized its market share around 40% in H2FY25 and over the past three months has increased its market share from 38% in Apr’25 to 43% in Jun’25. On the other hand, Piaggio experienced a consistent decline over the past one year, with its market share consistently dropping from ~12% in Jun’24 to 6% in Jun’25. Meanwhile, Bajaj’s E-Auto, launched in Jun’23, has steadily gained market share over the past couple of years, and has now stabilized its market share around 38%.
Passenger Vehicle
PV retail sales were up 2% YoY in June ‘25 with East (+6%) and West & Central (+4%) showing mid-single digit growth whereas North (-1%) and South (-2%) witnessed marginal decline. CNG penetration stands at 21% in Jun’25 and has been steadily increasing across regions over the past one year with East region led by Bihar witnessing significant increase.
Meanwhile, petrol’s share has dropped below 50% for fifth consecutive month and currently stands at 48%. Electric vehicle penetration in Jun’25 stands at 4.4% Vs 4.3% in May’25 and 2.5% in Jun’24.
