Registrations for the December 1–28, 2025 period, rose 9% year-on-year, led by strong performance in passenger vehicles (PV), commercial vehicles (CV) and three-wheelers, while two-wheelers continued to lag. The divergence between four-wheelers and two-wheelers became more pronounced in December.
Passenger vehicle registrations are seen growing 15% from the previous year, while commercial vehicle registrations may report a growth in registration of nearly 16%. In contrast, two-wheeler registrations may see a modest increase of 4%, indicating that rural and mass-market recovery remains gradual. Three-wheelers are likely to be the standout, with registrations likely surging almost 30% from the previous year.
Two-Wheelers: Mixed Trends Persist
Within the two-wheeler segment, performance remained uneven. Eicher Motors and TVS Motor continued to outperform the broader industry, gaining market share.
Hero MotoCorp emerged as the biggest underperformer, with registrations declining on a year-on-year basis. Bajaj Auto is likely to report flat registrations for December, suggesting pressure in its domestic two-wheeler portfolio.
The data underscores that while premium motorcycles are holding up, mass-market commuter demand is yet to see a decisive rebound.
PV & CV: Strong Demand Continues
Passenger vehicle manufacturers are expected to report high single-digit to low double-digit registration growth, supported by sustained demand for SUVs and improved supply chains. Commercial vehicle makers may once again deliver double-digit growth, driven by infrastructure spending, healthy freight movement and replacement demand.
Electric Two-Wheelers: Divergence Widens
The electric two-wheeler (E2W) space continued to see sharp divergence among players. Ather Energy stood out, with registrations rising over 40% from last year, reflecting improved product traction and distribution expansion. In contrast, Ola Electric’s underperformance is likely to persist, with registrations estimated to decline by nearly 50% year-on-year in December.
Overall, the December VAHAN data reinforces the narrative of resilient auto demand, led by four-wheelers and commercial vehicles. However, the muted growth in two-wheelers suggests that a full-fledged recovery in mass-market consumption remains a work in progress as the industry heads into the new calendar year.
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