Indian auto sales surge in July with Tata and Hyundai hitting record volumes
India's automobile sector recorded a strong start to the quarter, with major manufacturers hitting record sales volumes driven by domestic and rural growth.
India's automobile industry has posted a robust start to the second quarter of the fiscal year, with leading manufacturers registering substantial year-on-year sales growth driven by resilient domestic consumption, surging international exports, and improving rural economic fundamentals, according to Fortuneindia.
Maruti Suzuki India Ltd achieved its highest-ever monthly domestic sales in July 2026, crossing the two lakh-unit threshold for the first time by selling 2,00,123 units across passenger and light commercial vehicle lines. This surpassed the previous peak of 1,93,535 units set earlier in the year, marking a 42.36% surge over the previous year when the company sold 1,40,570 units.
Media additions
Tata Motors Passenger Vehicles Ltd recorded a 59% jump in total sales to 63,760 units compared to 40,175 units in the same month last year. Domestic passenger vehicle deliveries climbed 58% to 62,611 units from 39,521 units a year ago, while international passenger vehicle volumes advanced 76% to 1,149 units. Electric passenger vehicle demand more than doubled, climbing 114% to 15,217 units up from 7,124 units in July 2025.
Hyundai Motor India Ltd reported its best-ever monthly performance, crossing 75,000 total dispatches for the first time according to Rushlane. Total volumes reached 75,360 units, representing a 25.4% increase over the prior year's 60,073 units. Domestic sales rose 23.3% to 54,210 units compared to 43,973 units last year, recovering sharply from temporary production constraints caused by a vendor fire that had hampered June output when the company sold 39,635 units. Hyundai's popular Creta model achieved its highest monthly volume of the year at 18,088 units, while the i20 premium hatchback also recorded its strongest monthly performance with 6,738 units.
"We have kicked off the new quarter on a strong note. Achieving 75,360 total sales, our highest-ever monthly volume since inception, underscores the immense trust consumers place in the Hyundai brand"
Tarun Garg, Managing Director and CEO, HMIL, via Fortuneindia
Export markets provided a major catalyst for Hyundai, with overseas shipments climbing 31.4% to 21,150 units from 16,100 units in the corresponding month last year. Garg noted that this export volume represented the company's highest in more than 100 months, reinforcing its manufacturing strategy and highlighting the growing importance of India as a global manufacturing and export hub for the Korean automaker.
Other major manufacturers shared in the broader market expansion. Nissan Motor India Pvt Ltd reported a 66.5% jump in total wholesales to 9,339 units in July from 5,608 units a year earlier. Domestic wholesales more than tripled to 4,518 units compared to 1,420 units in July 2025, while exports rose 15.1% to 4,821 units from 4,188 units. Mahindra & Mahindra Ltd registered a 26% increase in total automotive sales. Domestic utility vehicle sales rose 20% to 60,048 units, domestic commercial vehicle sales increased 23% to 25,204 units, and exports grew 47% year-on-year to 4,070 units. Nalinikanth Gollagunta, CEO of the Automotive Division at M&M, stated that the overall growth reflects all-round demand traction across the portfolio.
M&M's farm equipment division also benefited from rural recovery, with tractor sales rising 20% to 34,420 units. Domestic tractor sales climbed 21% to 32,643 units while exports edged up 3% to 1,777 units.
"Significant recovery in rainfall, improved reservoir levels, accelerated kharif sowing aided by government support and healthy farm cashflows have led to positive rural and farmer sentiment"
Veejay Nakra, President, Farm Equipment, M&M, via Fortuneindia
Honda Motorcycle & Scooter India Pvt Ltd posted a 5% increase in total sales to 5,42,934 units from 5,15,378 units a year ago, driven by domestic growth of 2% to 4,76,436 units and a 35% surge in exports to 66,498 units.
Market Performance Overview
- Maruti Suzuki: Domestic sales crossed 2,00,123 units, up 42.36% year-on-year.
- Tata Motors: Total sales rose 59% to 63,760 units; electric vehicle sales surged 114%.
- Hyundai Motor India: Total volumes reached 75,360 units, up 25.4%, with exports at a multi-year high.
- Mahindra & Mahindra: Total automotive sales climbed 26% alongside a 20% rise in tractor sales.
- Nissan Motor India: Wholesales jumped 66.5% to 9,339 units.
Following this record-setting start to the quarter, Hyundai is preparing a busy product offensive. The company plans to launch a new Bayon-based midsize SUV featuring petrol, diesel, and factory-fitted underbody CNG options later in the financial year, alongside an all-new sub-4 metre electric SUV and the next-generation Creta.