New Delhi [India], October 4 : Passenger vehicle and two-wheeler sales showed signs of revival in September 2025 as the festive season began on September 22. According to Citi Research, demand picked up due to pent-up buying from August and a reduction in prices following recent GST cuts.
"Wholesale dispatches have been relatively modest for a few OEMs due to 1) late offtake by dealers and 2) logistics constraints. Tractor volumes were particularly robust. We expect a very strong Oct print, given the broader sentiment trends and the full month's impact of GST cuts," the release said.
As per the release, Bajaj Auto recorded a five per cent rise in domestic two-wheeler volumes year-on-year, with month-on-month growth at 48 per cent. Exports remained steady at 12 per cent YoY. In commercial vehicles, domestic sales dipped by one per cent YoY, while exports jumped 67 per cent YoY.
TVS Motor posted an 11 per cent rise in overall two-wheeler sales. Domestic sales grew 12 per cent YoY, with electric vehicle volumes also increasing by eight per cent. Hero MotoCorp saw a five per cent growth in domestic two-wheeler sales, with overall volumes up eight per cent YoY. Notably, its exports almost doubled, rising 95 per cent YoY.
Maruti Suzuki experienced strong retail demand, with approximately 200,000 deliveries and 250,000 pending bookings, as reported in the press release citing media reports. However, wholesale numbers declined by eight per cent YoY, excluding sales to Toyota, affected by logistical challenges that are expected to ease in early October. Including Toyota sales, domestic volumes were down six per cent YoY. On the other hand, exports surged 52 per cent YoY, pushing overall volumes up three per cent.
Hyundai's domestic volumes rose by one per cent YoY, showing recovery, while exports climbed sharply by 44 per cent YoY. Mahindra & Mahindra reported 10 per cent growth in utility vehicle sales and a significant 50 per cent rise in tractor volumes. Tractor sales benefitted from demand during Navratri, although trailer availability was limited.
Tata Motors delivered a strong performance with domestic passenger vehicle sales rising 45 per cent YoY. Commercial vehicle growth was steady, with small commercial vehicles and pick-ups registering a 30 per cent YoY rise. Ashok Leyland reported higher truck sales with medium and heavy commercial vehicles up five per cent YoY, though bus volumes fell nine per cent YoY.
Eicher Motors achieved its highest-ever sales for Royal Enfield, with volumes at 124,328 units, marking a 43 per cent YoY increase. Larger models, those above 350cc, also recorded strong growth, despite higher GST rates.
The report highlights that while September showed the first signs of festive momentum, October is expected to deliver stronger numbers with the full impact of GST benefits and improved logistics.