August 2025 saw India’s automotive sector report mixed trends. Passenger vehicle (PV) sales dipped by close to 8.8% at about 3.22 lakh units for the month vis-à-vis the corresponding month last year, as per SIAM (Society of Indian Automobile Manufacturers) data. ANI, quoting the SIAM data reports that the three-wheeler sales set an all-time record high for August, clocking 75,759 units and reflecting an 8.3% surge over last year. Two-wheeler sales were up but some segments witnessed sharp falls— such as e-rickshaws—particularly in the case here. The reason attributed to the fall in PV numbers is due to adjusted dealer dispatches and stock rationalisation.
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What Fell Behind: Passenger Vehicles
Cars, SUVs,
and MPVs - retail sales of passenger vehicles were down sharply in August 2025. An 8.8% y-o-y decline reflects both softening demand and a conscious delivery cut by makers so that vehicles do not pile up at dealers. This is probably a strategy to avoid overstocking at dealerships. SIAM said that its members were rescheduling dispatches to match changing consumer sentiment as well as problems with the inventory.
Three-Wheelers Break Records
The three-wheeler segment has reported its best August sales in the year 2025 with 75,759 units against 69,962 units for August 2024. This growth was contributed by both passenger and goods carrier three-wheelers. In this category, e-rickshaws fell drastically by about 49.4% while e-carts have grown tremendously by about 362.9%.
Two-Wheelers And Other Segments
There were 18.34 lakh two-wheelers sold, indicating an increased sales growth by 7.1% year-on-year. In the two-wheeler category, scooters emerged as the best performers, growing by 12.7%. Motorcycles registered a modest increase of 4.3%, whereas mopeds registered a marginal decline of 1.5%. Quadricycles registered almost nil activity in August. Other segments registered a mixed bag performance with some of the electric mobility sub-segments continuing their struggles.
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Implications For Industry And Market Outlook
Companies are adjusting their shipment plans to real demand. Three-wheelers have been a solid growth spot, especially for last-mile mobility and goods transport while two-wheelers stay the main volume players. As the festive season draws near, stock clearing will be pushed further to tap into growth in strong segments. Also, any policy tweaks will play a big role going forward.
(With inputs from ANI)
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