Indian Auto Industry Posts Strong Q1 Growth With 25.9 Percent Passenger Vehicle Surge

The Indian automobile industry has kicked off the 2026-27 financial year with impressive growth across all major segments. During the April-June quarter, passenger vehicle sales exceeded 1.27 million units, representing a 25.9 percent increase compared to the same period last year, signaling a broad-based recovery in consumer demand.

Growth was not limited to passenger cars; two-wheeler sales reached 5.63 million units, marking a 20.3 percent rise. Additionally, three-wheeler volumes grew by 29.7 percent to approximately 214,000 units, while commercial vehicle sales advanced by 18.3 percent to nearly 265,000 units, reflecting a healthy uptick in both personal mobility and logistics activity.

A standout trend for the quarter was the 14-fold surge in electric vehicle exports, which hit 15,641 units. Manufacturers like Maruti Suzuki, Tata Motors, and Mahindra & Mahindra led this charge, with the e-Vitara model proving particularly successful as one of the most exported vehicles from India, highlighting the growing global competitiveness of Indian-made electric vehicles.