India’s automobile industry delivered its strongest-ever May performance in 2026 across passenger vehicles, two-wheelers and three-wheelers, according to the Society of Indian Automobile Manufacturers. The growth was driven by robust SUV demand and a recovery in entry-level cars, alongside record-breaking scooter sales and improving exports.
Passenger vehicle (PV) wholesales surged 27.3% year-on-year to 438,854 units. SUVs remained the primary growth engine, with utility vehicle sales rising to 245,549 units, supported by strong demand for models from manufacturers such as Maruti Suzuki India and Hyundai Motor India. Mini and compact cars also rebounded sharply, while sedan sales continued to decline, reflecting a steady consumer shift towards higher-riding vehicles.
In the two-wheeler segment, total domestic sales climbed 14.8% to 1.9 million units, marking a record May performance. Scooters were the standout category, jumping 27.4% to 739,667 units, while motorcycles grew at a slower pace of 7.2%. Key industry players, including Hero MotoCorp, Honda Motorcycle & Scooter India, and TVS Motor Company, saw mixed trends across segments. Exports also strengthened significantly, rising over 30%, supported by demand in overseas markets.
Industry officials attributed the growth to a lower base effect, improved financing conditions, and recent tax and price adjustments that supported demand across segments. Analysts also highlighted strong retail momentum and channel replenishment as key drivers behind the broad-based expansion.
