Is Rahul Gandhi's Claim About Vehicle Sales True?

Synopsis
Rahul Gandhi recently claimed a significant drop in vehicle sales in India. However, industry data from SIAM reveals a different story, showcasing growth in both two-wheeler and passenger vehicle sales. Read on to discover the actual statistics behind this debate and what they mean for the auto industry.
Key Takeaways
- Passenger vehicle sales reached a record of 43 lakh units.
- Two-wheeler sales increased by 9.1% to 1.96 crore units.
- Three-wheeler sales hit an all-time high of 7.4 lakh units.
- Exports of passenger vehicles rose by 14.6%.
- India's total vehicle exports surpassed 53 lakh units.
New Delhi, June 5 (NationPress) The Leader of Opposition, Rahul Gandhi, recently asserted via social media that there has been a 17 percent decline in two-wheeler sales and an 8.6 percent drop in car sales over the past year. However, this statement lacks credibility when we examine trustworthy industry statistics.
The automobile sector in India reached a significant milestone in the financial year concluding in March 2025, with passenger vehicle sales climbing to a historic 43 lakh units, as reported by the Society of Indian Automobile Manufacturers (SIAM).
This reflects a 2 percent increase compared to the prior year, largely driven by the soaring popularity of utility vehicles, which now constitute 65 percent of all passenger vehicle sales, up from approximately 60 percent in the previous fiscal year.
According to SIAM, two-wheeler sales have experienced a vigorous resurgence, rising by 9.1 percent to reach 1.96 crore units in FY25.
Three-wheeler sales also achieved remarkable growth, reaching an unprecedented 7.4 lakh units, marking a 6.7 percent increase and surpassing the peak previously seen in FY19.
SIAM attributes the growth in the two-wheeler segment primarily to scooters, bolstered by enhanced connectivity in rural and semi-urban regions and the introduction of new models featuring advanced technologies.
The sales surge is propelled by robust demand, investments in infrastructure, favorable government policies, and a strong emphasis on sustainable mobility.
Moreover, passenger vehicle exports hit an all-time high of 7.7 lakh units, reflecting a 14.6 percent growth from the previous year. This increase is credited to the rising demand for India-made global models, particularly in markets across Latin America and Africa.
In summary, domestic automobile sales rose by 7.3 percent, while exports across all vehicle categories surged by 19.2 percent during the financial year ending March 2025.
Furthermore, automobile exports from India saw a remarkable 19 percent increase, surpassing an all-time high of 53 lakh units for the fiscal year that concluded on March 31, underscoring India's growing reputation as an auto manufacturing powerhouse.
India's total vehicle exports reached 53,63,089 units during 2024-25, an increase from 45,00,494 in the preceding financial year, according to SIAM data.
Passenger vehicle shipments experienced a substantial 15 percent increase, rising from 7,70,364 units in the previous fiscal year to 6,72,105 units in 2023-24.