<p>New Delhi: Passenger vehicle sales jumped by 13.2 per cent year-on-year to 13.16 lakh units in January-March quarter, the highest ever number recorded in Q4, supported by improved affordability following the <a href="https://www.deccanherald.com/tags/gst">GST</a> rate reduction and lower interest rates, Society of Indian Automobile Manufacturers (SIAM) said on Tuesday.</p><p>The segment also clocked its highest ever sales of 46.43 lakh units in the full financial year 2025-26, posting a growth of 7.9 per cent over the previous year.</p><p>Addressing a media briefing SIAM President Shailesh Chandra said strong sales were recorded in 2025-26 across the segments including passenger vehicles, commercial vehicles, three-wheelers and two-wheelers.</p><p>In the financial year ended March 31, 2026, commercial vehicles posted sales of 10.80 lakh units, which is 12.6 per cent higher over the previous year. Three wheelers posted sales of 8.36 lakh units with a growth of 12.8 per cent, and two-wheelers posted sales of 2.17 crore units, with a growth of 10.7 per cent year-on-year.</p><p>“Though FY 2025-26 started modestly, the Indian auto industry has closed the year on a high note with every vehicle category viz. passenger vehicles, commercial vehicles, three-wheelers and two-wheelers, together posting their highest ever sales in a financial year, after seven years,” said Chandra.</p>.Passenger vehicle dispatches rise 27% year-on-year in December 2025: SIAM.<p>“The strong contributors to this growth have been the positive sentiments created through GST 2.0 reforms and multiple repo rate cuts during the year,” he added.</p><p>In the first half of 2025-26 passenger vehicles sales were down by 1.4 per cent when compared to the corresponding period of the previous year. However, in the second half it posted a robust growth of 16.7 per cent year-on-year. Reduction in goods and services tax (GST) rate, which was implemented in September, boosted automobile sales in the second half of FY26.</p><p>Passenger vehicles also saw their highest ever exports of 9.05 lakh units in 2025-26 registering a growth of 17.5 per cent over 2024-25, led by strong demands in the Middle East, Africa and Latin America.</p><p>On outlook for the current financial year, Chandra said if the West Asia conflict prolongs it could have an impact.</p><p>“Looking ahead, domestic demand and macroeconomic fundamentals remain robust as we step into FY 2026-27, which should aid steady growth for the industry,” said Chandra, who is also Managing Director & CEO of Tata Motors Passenger Vehicles.</p><p>“However, uncertainties arising from the West Asia conflict need to be closely monitored, as it may have impacts on production, commodity prices, fuel prices, freight rates and the overall economy,” he added. </p>
<p>New Delhi: Passenger vehicle sales jumped by 13.2 per cent year-on-year to 13.16 lakh units in January-March quarter, the highest ever number recorded in Q4, supported by improved affordability following the <a href="https://www.deccanherald.com/tags/gst">GST</a> rate reduction and lower interest rates, Society of Indian Automobile Manufacturers (SIAM) said on Tuesday.</p><p>The segment also clocked its highest ever sales of 46.43 lakh units in the full financial year 2025-26, posting a growth of 7.9 per cent over the previous year.</p><p>Addressing a media briefing SIAM President Shailesh Chandra said strong sales were recorded in 2025-26 across the segments including passenger vehicles, commercial vehicles, three-wheelers and two-wheelers.</p><p>In the financial year ended March 31, 2026, commercial vehicles posted sales of 10.80 lakh units, which is 12.6 per cent higher over the previous year. Three wheelers posted sales of 8.36 lakh units with a growth of 12.8 per cent, and two-wheelers posted sales of 2.17 crore units, with a growth of 10.7 per cent year-on-year.</p><p>“Though FY 2025-26 started modestly, the Indian auto industry has closed the year on a high note with every vehicle category viz. passenger vehicles, commercial vehicles, three-wheelers and two-wheelers, together posting their highest ever sales in a financial year, after seven years,” said Chandra.</p>.Passenger vehicle dispatches rise 27% year-on-year in December 2025: SIAM.<p>“The strong contributors to this growth have been the positive sentiments created through GST 2.0 reforms and multiple repo rate cuts during the year,” he added.</p><p>In the first half of 2025-26 passenger vehicles sales were down by 1.4 per cent when compared to the corresponding period of the previous year. However, in the second half it posted a robust growth of 16.7 per cent year-on-year. Reduction in goods and services tax (GST) rate, which was implemented in September, boosted automobile sales in the second half of FY26.</p><p>Passenger vehicles also saw their highest ever exports of 9.05 lakh units in 2025-26 registering a growth of 17.5 per cent over 2024-25, led by strong demands in the Middle East, Africa and Latin America.</p><p>On outlook for the current financial year, Chandra said if the West Asia conflict prolongs it could have an impact.</p><p>“Looking ahead, domestic demand and macroeconomic fundamentals remain robust as we step into FY 2026-27, which should aid steady growth for the industry,” said Chandra, who is also Managing Director & CEO of Tata Motors Passenger Vehicles.</p><p>“However, uncertainties arising from the West Asia conflict need to be closely monitored, as it may have impacts on production, commodity prices, fuel prices, freight rates and the overall economy,” he added. </p>