India’s passenger vehicle (PV) market maintained its strong growth momentum in September 2026, with domestic wholesales estimated at around 4.6 lakh units, marking a year-on-year (YoY) increase of approximately 21%.
Maruti Suzuki continued to lead the domestic passenger vehicle market, while Tata Motors, Mahindra & Mahindra (M&M), Hyundai India and Kia India also recorded growth during the month. September marked the end of the first half of FY27 and coincided with the start of the peak festive season, supporting demand alongside new product launches and continued customer interest.
The growth came despite multiple price increases announced by leading automakers during the period. Industry volumes benefited from the continuing impact of GST 2.0, new model introductions, improving demand for small cars and changes in the policy environment.
Maruti Suzuki Retains Market Leadership
Maruti Suzuki reported domestic passenger vehicle sales of 1,85,252 units in September 2026, compared with 1,35,711 units in September 2025, representing a 36.5% YoY increase.
Tata Motors retained the second position with 68,810 units, up from 59,667 units a year earlier. The company has also recently expanded its portfolio with the launch of the Tata Aeris sedan.
Mahindra & Mahindra reported utility vehicle sales of 64,092 units, an increase of 14% from 56,233 units in September 2025. The automaker has also crossed cumulative sales of one lakh Electric Origin SUVs, including the BE 6, XEV 9e and XEV 9s.
Hyundai India recorded dispatches of 57,166 units, compared with 51,547 units in September 2025, representing approximately 10% growth.
“We are delighted to close September 2026 with our highest-ever total monthly sales of 77,916 units (domestic + exports), registering a healthy double-digit growth of 10.8% YoY,” said Tarun Garg, MD and CEO, Hyundai Motor India.
September 2026 PV Sales
| Rank | OEM | September 2025 | September 2026 |
| 1 | Maruti Suzuki | 1,35,711 | 1,85,252 |
| 2 | Tata Motors | 59,667 | 68,810 |
| 3 | Mahindra & Mahindra | 56,233 | 64,092 |
| 4 | Hyundai India | 51,547 | 57,166 |
| 5 | Kia India | 22,700 | 32,017 |
Kia Moves Ahead of Toyota
Kia India moved ahead of Toyota Kirloskar Motor in September 2026 to secure the fifth position in the domestic passenger vehicle rankings. Kia recorded sales of 32,017 units, compared with 22,700 units in the same month last year.
The automaker attributed the performance to continued demand for models including the Seltos and Sonet, along with the response to newer products such as the Sorento and Syros EV.
Atul Sood, Senior Vice President, Sales & Marketing, Kia India, said, “Our strong performance in September and across the third quarter reflects the continued trust of our customers and the strength of Kia’s evolving portfolio. The Seltos and Sonet continue to be key contributors to our growth, while the strong response to the Sorento and Syros EV reinforces our strategy of expanding into new segments and powertrain categories in line with evolving customer aspirations.”
Toyota Kirloskar Motor recorded sales of 25,027 units during the month, while Nissan reported 10,000 units.
Saurabh Vatsa, Managing Director, Nissan Motor India, said, “We are confident about the opportunity ahead and remain committed to accelerating our momentum through distinctive products and a stronger network for customers who value the Nissan brand and its products.”
JSW MG Motor India recorded sales of 8,018 units, while Renault reported 3,399 units in September.
Maruti Suzuki Leads H1 FY27 Sales
For the first half of FY27, covering April to September 2026, Maruti Suzuki remained the market leader with sales of 10,80,240 units, compared with 7,95,446 units in the corresponding period last year. This represents growth of approximately 35.8%.
Tata Motors recorded sales of 3,76,840 units during H1 FY27, up 42.7% from 2,64,028 units in the same period last year.
Mahindra & Mahindra sold 3,58,142 units during the first half, compared with 2,97,570 units a year earlier, representing growth of 20.3%.
Hyundai India’s domestic sales increased 12.3% to 3,05,146 units from 2,71,780 units.
H1 FY27 PV Sales
| Rank | OEM | H1 FY26 | H1 FY27 |
| 1 | Maruti Suzuki | 7,95,446 | 10,80,240 |
| 2 | Tata Motors | 2,64,028 | 3,76,840 |
| 3 | Mahindra & Mahindra | 2,97,570 | 3,58,142 |
| 4 | Hyundai India | 2,71,780 | 3,05,146 |
“We have gained the highest market share among all OEMs in Q2 as well as in the H1 of this financial year,” said Partho Banerjee, Senior Executive Officer, Marketing and Sales, Maruti Suzuki.
Tata Motors said passenger vehicle demand remained strong during Q2 FY27 following the GST 2.0 changes, despite the quarter traditionally being softer from a seasonal perspective.
“In Q2 FY27, passenger vehicle demand sustained the strong momentum seen following GST 2.0, despite the quarter being seasonally softer,” said Shailesh Chandra, MD and CEO, Tata Motors Passenger Vehicles.
The company added that EVs and CNG vehicles together accounted for 51% of its sales during the period.
Mahindra & Mahindra’s Automotive Business President Velusamy R said, “In September, SUV sales clocked 64092 units with a growth of 14 per cent, and total vehicle sales stood at 1,14,874, a 15 per cent YoY growth. Adding to this momentum, we are proud to have crossed the milestone of 1 lakh billing of our Electric Origin SUVs since launch.”
Growth Moderation Expected in H2 FY27
Despite the strong performance recorded in September and the first half of FY27, industry observers expect the pace of YoY growth to moderate in the second half as the comparison base becomes stronger.
Puneet Gupta, Director – India & ASEAN, Mobility Global, said vehicle dispatches had increased from September last year following the GST-related changes, making the base effect increasingly relevant in the months ahead.
“The growth percentage you are seeing right now in H1 will not be the same,” said Banerjee, while noting that absolute industry volumes could continue to increase.
Gupta also highlighted potential headwinds including higher oil prices, inflation, rupee depreciation, rising vehicle prices and the possibility of interest rate increases. These factors could put pressure on retail demand if vehicle affordability becomes a concern.
“In India, the first-time buyer segment is still very high, close to 50 per cent, and still India car penetration is still very low,” Gupta said.
The second half of FY27 will therefore be closely watched as automakers look to sustain demand amid a higher base, manage rising costs and ensure adequate vehicle supplies during the festive season.
