Indian Auto Makers Report Mixed September 2026 Sales; PV and CV Grow

Indian automobile manufacturers delivered a varied performance in September 2026, as robust gains in passenger and commercial vehicles contrasted sharply with persistent downward pressure on tractor sales, according to industry data released across the sector. The market results arrive as retail activity builds ahead of the festive season, driven by favorable tax adjustments and shifting consumer demand patterns across domestic and international markets, Angelone reported.

The broader passenger vehicle landscape demonstrated notable resilience. According to Autopunditz, Vahan registrations climbed to 4,20,359 units, up 31.8% year-on-year from 3,18,907 units in September 2025, while improving 2.6% month-on-month. Maruti Suzuki maintained its commanding lead as India’s largest passenger vehicle manufacturer, recording 1,69,826 registrations and capturing a 40.4% market share. Mahindra & Mahindra secured the second position with 57,817 units, marking a 35.5% year-on-year increase and finishing closely ahead of Tata Motors, which registered 56,156 units. Hyundai followed closely with 50,201 registrations, while Kia posted a 45.9% year-on-year jump to reach 26,668 units.

Media additions

Electric vehicle adoption reached a historic milestone during the month. Data compiled by Flashfinance from the Ministry of Road Transport & Highways' Vahan dashboard indicated that total electric vehicle registrations hit 3,33,336 units, representing a 74.0% surge compared to September 2025 and marking the largest month in the three-year Vahan record. The segment accounted for 13.1% of all vehicle registrations in India for the month, achieving its eighteenth consecutive month of year-on-year growth. Two-wheelers continued to drive the electric transition, making up 62.0% of all electric vehicles registered year-to-date with 15,77,580 units. Uttar Pradesh emerged as the leading state market, capturing 14.1% of national registrations.

Electric passenger car registrations similarly broke records. Autocarpro reported that electric passenger vehicle registrations rose 94% year-on-year to 35,948 units, pushing EV penetration to 8.3% of the broader passenger vehicle market. Tata Motors retained its leadership in the electric passenger vehicle category with 14,722 registrations, accounting for a 41% market share. Mahindra & Mahindra followed with 7,741 registrations, while JSW MG Motor India recorded 5,226 registrations. VinFast registered 2,961 vehicles, retaining fourth place in the electric car segment.

Commercial vehicle and two-wheeler sectors presented robust figures alongside contrasting segments. Tata Motors reported that its commercial vehicle total sales jumped 42.4% to 51,062 units. Ashok Leyland achieved total sales growth of 28% to reach 24,049 units, driven by a 37% increase in its medium and heavy commercial vehicle segment. Eicher VECV commercial vehicle sales surged 49.6% to 11,396 units. The Economic Times noted that the commercial vehicles space benefited from prior tax cuts that reduced truck prices by about 10%, releasing pent-up replacement demand in a fleet with an average age of roughly 10 years, though rising material costs squeezed operating margins.

In contrast, agricultural tractor sales experienced a downturn due to softer rural demand. Escorts Kubota total sales fell 17% to 15,214 units, and Mahindra & Mahindra tractor sales dropped 21% to 52,100 units, while V.S.T Tillers Tractors climbed 33% to 5,954 units, according to Angelone's market breakdown.

Two-wheeler manufacturers posted mixed results domestically alongside strong export performance. TVS Motor reported a 24% rise in total sales, with electric two-wheeler sales more than doubling to 65,799 units. Hero MotoCorp domestic sales rose 14% to 7.4 lakh units despite a 31% drop in exports. Bajaj Auto total sales grew 5% to 5.38 lakh units, restrained by a 9% decline in domestic two-wheeler sales, though its exports jumped 32% to 2.43 lakh units.

The broader economic environment reflected various crosscurrents. Oil prices and bond yields remained up in the United States and other major markets, signaling ongoing global readjustments. Meanwhile, regional regulatory shifts continued to shape urban transport. The Jammu and Kashmir government notified its Electric Vehicle Policy 2026 to expand sustainable electric mobility across a six-year roadmap targeting 1.40 lakh electric vehicles by 2032. Delhi also prepared to introduce stricter vehicle regulations to curb winter pollution, featuring commercial and personal vehicle restrictions across the National Capital Region.

As the industry looks ahead, attention turns to how retail momentum will hold through the upcoming festive period and whether registration volumes will translate into sustained growth in October, as noted by Autopunditz.