Auto Sales in July-September 2026: Domestic automobile sales across major vehicle segments rose 18.2% year-on-year to a record 83.88 lakh units in the July-September quarter of FY2026-27, with passenger
vehicles, two-wheelers, three-wheelers and commercial vehicles all posting their highest-ever second-quarter sales, industry body Society of Indian Automobile Manufacturers (SIAM) said.
The growth was supported by improved vehicle affordability following GST 2.0, resilient demand across rural and urban markets, healthy freight movement and infrastructure-led economic activity.
Passenger vehicle sales increased 30.7% year-on-year to 13.61 lakh units in the second quarter, while two-wheeler sales rose 15.2% to 64.33 lakh units. Three-wheeler sales grew 23.6% to 2.85 lakh units, and commercial vehicle sales climbed 28.7% to 3.09 lakh units.
“Q2 of FY 2026–27 recorded the highest ever Q2 sales of all the segments, including Passenger Vehicle, Commercial Vehicle, Three-Wheeler and Two-Wheeler,” SIAM Director General Rajesh Menon said.
Utility Vehicles Drive Passenger Vehicle Growth
Utility vehicles continued to dominate the passenger vehicle market, accounting for 68% of total sales in the segment. Sales of utility vehicles rose 34.2% year-on-year during the quarter, while passenger car sales increased 24.9%.
The strong performance highlights the continued preference for utility vehicles among Indian buyers, alongside an improvement in overall passenger vehicle demand.
Scooters Outpace Motorcycles
In the two-wheeler segment, scooters recorded stronger growth than motorcycles. Scooter sales increased 27.7% year-on-year, compared with a 7.4% rise in motorcycle sales.
The two-wheeler segment remained the largest contributor to overall domestic automobile volumes, accounting for more than three-fourths of sales across the four major categories during the quarter.
Auto Exports Rise, But Passenger Vehicle Shipments Decline
Automobile exports recorded strong growth across three of the four major segments. Two-wheeler exports increased 27.7% year-on-year to 16.5 lakh units, the highest-ever second-quarter level. Three-wheeler exports rose 30.4% to 1.6 lakh units, while commercial vehicle exports surged 72.5% to more than 41,000 units.
Passenger vehicle exports, however, declined 5.2% to 2.29 lakh units. SIAM attributed the fall primarily to a higher base and logistics constraints linked to the West Asia crisis.
SIAM Sees Growth Momentum Continuing In Second Half
SIAM expects the automobile industry to sustain positive growth in the second half of FY2026-27, supported by the festive season, new vehicle launches, infrastructure spending, fleet replacement demand and rising demand for last-mile mobility.
SIAM President Shenu Agarwal said, “Industry looks forward to the festive season for the continued momentum while remaining cautiously optimistic due to prevailing geo-economic uncertainties.”
(With inputs from ANI)
