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Indian Auto Sales Surge: 2026 Outlook Bright
2 Jan
Summary
- Indian auto industry sees double-digit growth in December 2025.
- Maruti Suzuki leads with 36.5% YoY growth and long waiting lists.
- New launches and GST cuts fuel positive outlook for 2026.
The Indian automotive sector finished 2025 on a high note, with most manufacturers reporting substantial year-on-year growth in domestic sales for December. This positive trend is attributed to a combination of factors including a GST rate cut, income tax rebates, and a repo rate reduction by the Reserve Bank of India.
Maruti Suzuki emerged as the top performer, achieving 36.5% growth in domestic sales, with substantial pending bookings leading to an average waiting period of 45 days. Mahindra & Mahindra secured the second position, reporting its highest-ever volumes in SUV and LCV segments. Tata Motors, though slipping to third, announced major product introductions, including petrol variants of Harrier and Safari, and the Sierra.
