Auto sales hit a record high in September, fuelled by a boost in customer sentiment following reductions in GST rates. The ongoing festive season has further lifted market momentum, with passenger vehicles leading the growth.
Industry estimates indicate that total domestic auto sales reached approximately 380,000 units in September 2025, up from 360,000 units in the same month last year. While passenger vehicles recorded high single-digit growth in domestic wholesales, two-wheeler sales displayed a mixed performance.
Despite the overall growth, Maruti Suzuki experienced an 8.3% decline in domestic sales, reporting 147,461 units sold. However, the company remains optimistic with strong booking numbers, particularly during the Navratri period in the final week of September.
“Overall, we have received close to 3.5 lakh bookings, with nearly 2.5 lakh still pending. The key challenge lies in logistics to transport such high volumes, but we are making every effort to serve our customers at the earliest,” said Partho Banerjee, Senior Executive Officer, Marketing & Sales, Maruti Suzuki.
Tata Motors regained its position as the second-largest carmaker in both wholesale and retail segments, reporting a 45% surge in wholesales to 59,667 units.
“This surge sets a promising tone for sustained growth. Across our portfolio, customer interest remained exceptionally strong, with new bookings doubling in the second half of September following the GST rate cuts,” said Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles
Tata also posted a fivefold increase in exports year-on-year, bolstered by its successful entry into the South African market.
Meanwhile, Mahindra & Mahindra (M&M) registered a 10% increase in wholesales to 56,233 units, with its SUV segment alone seeing over 60% growth.
“Thanks to GST 2.0 and the earlier pent-up demand, we have seen robust growth in dealer-reported customer retails during the first nine days of Navratri,” — Nalinikanth Gollagunta, CEO, Automotive Division, M&M
Both Maruti Suzuki and M&M acknowledged logistical challenges, particularly the limited availability of trailers for vehicle transport, but assured they are working to improve dispatch efficiency.
OEM Sales Report – September 2025 vs. September 2024
| OEM | Sept ’25 | Sept ’24 | % Change |
| Maruti Suzuki | 1,47,461 | 1,56,999 | -8.3% |
| Tata Motors | 59,667 | 41,063 | +45% |
| Mahindra | 56,233 | 51,062 | +10% |
| Hyundai | 51,547 | 51,101 | +0.8% |
| Toyota | 27,089 | 26,847 | +1% |
Hyundai and Toyota secured the fourth and fifth spots in September sales. Hyundai posted modest growth of 0.8%, delivering 51,547 units, while Toyota’s sales were largely flat at 27,089 units.
Hyundai’s performance was driven by strong demand for its SUVs, particularly the Creta and Venue, which achieved their best-ever monthly sales.
“We witnessed the highest-ever domestic SUV sales penetration at 72.4%, with the Creta recording 18,861 units and the Venue hitting a 20-month high of 11,484 units,” — Tarun Garg, Whole-time Director & COO, Hyundai Motor India
Two-Wheelers Show Mixed Yet Positive Growth
The two-wheeler segment also reflected growing festive demand, with certain categories reporting double-digit growth. Dealer networks reported improved footfalls and customer sentiment.
“Customers are showing confidence not only in passenger cars but also in two-wheelers, indicating a clear demand revival. Dealers have observed higher footfalls, improved financing availability, and quicker purchase decisions,” — Vinkesh Gulati, Former FADA President
Two-Wheeler Sales See Festive Boost in September 2025
The two-wheeler segment witnessed healthy growth in September 2025, driven by festive demand, strong market sentiment, and a surge in both domestic and export volumes.
Hero MotoCorp led the segment with 5% growth, selling 687,220 units, largely benefiting from strong demand in the affordable commuter segment.
TVS Motor Company followed with a robust 12% increase in sales, reaching 413,279 units, supported by rising demand both domestically and internationally.
Bajaj Auto reported 5% growth at 273,188 units, while Suzuki Motorcycle India saw a significant 37% jump in sales, delivering 105,886 units.
Sales data for Honda Motorcycle and Scooter India was not available at the time of reporting.
OEM-wise Two-Wheeler Sales – September 2025 vs. 2024
| OEM | Sept ’25 | Sept ’24 | % Change |
| Hero MotoCorp | 687,220 | 616,706 | +5% |
| TVS Motor | 413,279 | 369,138 | +12% |
| Bajaj Auto | 273,188 | 259,333 | +5% |
| Suzuki Motorcycle | 105,886 | 77,263 | +37% |
| Honda (HMSI) | Data not available | – | – |
Looking Ahead
Industry leaders remain optimistic about continued momentum in October, fueled by major festivals such as Dussehra, Diwali, and Bhaidooj. However, they also anticipate a possible moderation in demand post-festive season. “If this trend continues, FY26 could mark one of the most robust festive seasons in recent years,” — Vinkesh Gulati, Former FADA President
