India’s passenger vehicle (PV) wholesales reached a record 45.5 lakh units in 2025, up 6% from 43.05 lakh units in 2024. This surge was fuelled by the late-September GST revisions, which boosted affordability after a sluggish start to the year. Going forward in 2026, India’s largest carmaker -- Maruti Suzuki India (MSIL) -- expects the PV market to grow by 6–7% on the back of improving affordability, stable macro conditions and sustained consumer demand.
MSIL dispatched 18.44 lakh units in 2025, beating its previous high of 17.90 lakh units in 2024. Senior Executive Officer, Marketing & Sales, Partho Banerjee said that factors such as GST reduction, income tax relief on income of up to Rs 12 lakh and repo rate cuts helped the auto industry's performance in 2025. "We need to split 2025 into two halves -- pre GST and post GST...it is a combination of these things which has really pepped up the market from the month of October onwards," added Banerjee.
Reeling from a steep sales slowdown, the GST Council slashed taxes on four-wheelers and two-wheelers in late September by 8-10%, triggering price cuts by automakers.
For Maruti Suzuki, sport utility vehicles (SUVs) now account for about 30% of PV sales, thanks to the success of two mid-size SUVs -- Grand Vitara and Victoris. Banerjee stated that they have seen a strong revival in the entry-level segment and the company would continue with tactical pricing on smaller cars.
Besides MSIL, Mahindra & Mahindra, Tata Motors Passenger Vehicles and Toyota Kirloskar Motor reported their best-ever annual wholesales. This was achieved as demand for SUVs remained firm in 2025 and the segment’s share in total PV sales went up from 53.8% in 2024 to 55.8% in 2025.
Tata Motors Passenger Vehicles (TMPV) MD and CEO Shailesh Chandra said CY25 saw steady progress for the PV industry, powered by a growing preference for SUVs and accelerating adoption of cleaner, emission-friendly powertrains.
For TMPV, he said, "The momentum sparked by the roll-out of GST 2.0 in late Q2 FY26 gained further traction in Q3, resulting in several new records...it was the fifth consecutive year of record-breaking annual sales, with 5,87,218 units sold, including the highest-ever EV volumes of 81,125 units in a calendar year."
M&M CEO, Automotive Division, Nalinikanth Gollagunta, said, "The calendar year 2025 ended on a positive note, with Mahindra clocking its highest-ever volumes in both SUVs and LCVs (over 3.5T) segments, a significant milestone for the company." Toyota (TKM) also reported its highest-ever calendar year sales with a total of 388,801 units in 2025, up 19% compared to the 326,329 units sold in CY 2024.
Hyundai Motor India reported a 6.6% year-on-year growth in total sales at 58,702 units in December 2025. It included monthly domestic sales of 42,416 units and exports of 16,286 units.