Have Car Sales Increased by 4.4% in India to Exceed 3.72 Lakh Units in September?
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Synopsis
Passenger vehicle sales in India grew by 4.4% this September, reaching 3.72 lakh units. This growth highlights the resilience of the automotive sector, despite new GST rates being introduced. The sector's outlook remains positive, driven by strong economic activity and rural demand.
Key Takeaways
- Passenger vehicle sales grew by 4.4% in September.
- Two-wheeler sales rose by 7%, totaling 21,60,889 units.
- Three-wheeler dispatches increased by 5.5%.
- The sector's growth is linked to GST reforms.
- Outlook for the industry remains positive.
New Delhi, Oct 15 (NationPress) The number of passenger vehicles, which includes cars and SUVs, dispatched from manufacturers to dealers saw a rise of 4.4 percent, reaching 3,72,458 units in September this year, compared to 3,56,752 units in the same month last year, as per the data released by the Society of Indian Automobile Manufacturers (SIAM) on Wednesday.
Sales of two-wheelers experienced a 7 percent increase, totaling 21,60,889 units for the month, in contrast to 20,25,993 units in September 2024. Meanwhile, three-wheeler dispatches rose by 5.5 percent to 84,077 units in September from 79,683 units during the same month last year, according to a statement from SIAM.
SIAM President Shailesh Chandra commented, "Despite the new GST rates being implemented for only 9 days of the month starting September 22, the sales of passenger vehicles, two-wheelers, and three-wheelers have reached their highest ever for September."
Looking forward, Chandra expressed a positive outlook for the sector, attributing key factors that support growth.
He noted, "The GST 2.0 reform stands as a significant milestone for the government, which will not only elevate the Indian auto industry but also invigorate the broader economy, given the sector's interconnections with various economic activities."
Sales of passenger vehicles during the July-September quarter amounted to 10,39,200 units, slightly lower than the 10,55,137 units recorded in the same quarter of the previous financial year.
Two-wheeler dispatches during this quarter surged by 7 percent to 55,62,077 units, compared to the same period last year, driven by increased demand in rural areas due to growth in agriculture.
Three-wheeler sales also demonstrated robust double-digit growth of 10 percent, reaching 2,29,239 units in the July-September quarter, indicating heightened economic activity.
"While the industry remains vigilant about geopolitical developments, the overall outlook for the current financial year appears optimistic, with expectations of a positive growth trajectory by fiscal year-end," the statement concluded.
Point of View
I believe that the latest data reflects a resilient automotive sector in India. The growth in passenger vehicle sales, despite challenges, indicates a potential recovery trajectory. The government’s GST reforms can further enhance this growth, fostering a vibrant economy.
NationPress
15/10/2025
Frequently Asked Questions
What are the recent trends in car sales in India?
Car sales in India saw a 4.4% increase in September, totaling 3,72,458 units compared to the previous year.
How did two-wheeler and three-wheeler sales perform?
Two-wheeler sales increased by 7% to 21,60,889 units, while three-wheeler dispatches grew by 5.5% to 84,077 units.
What is the significance of the new GST rates?
The new GST rates, effective for only part of the month, did not hinder the record sales in the automotive sector.
What is the outlook for the automotive industry?
The outlook remains positive, with expectations of continued growth due to strong economic activity and rural demand.
How did the automotive sector perform in the July-September quarter?
Passenger vehicle sales for this quarter stood at 10,39,200 units, slightly lower than the previous year, while two and three-wheeler sales showed significant increases.
