India's automotive sector has started the new fiscal year on a high note, with domestic passenger vehicle dispatches and two-wheeler sales experiencing robust double-digit growth in April, despite concerns over commodity prices.
Key Points
- Domestic passenger vehicle dispatches increased by 25.4 per cent year-on-year to 4,37,312 units in April, driven by sustained demand.
- Utility vehicles led the growth in the PV segment with a 21.5 per cent rise, while passenger car dispatches jumped 32.7 per cent.
- Total two-wheeler sales saw a significant 28.4 per cent increase, reaching 18,72,691 units in April.
- Motorcycle sales grew by 30.6 per cent and scooter sales by 26.2 per cent, contributing to the overall two-wheeler surge.
- Overall vehicle wholesales across all categories in April recorded a 27.9 per cent growth, totalling 23,16,671 units.
Domestic passenger vehicle dispatches from companies to dealers rose 25.4 per cent year-on-year to 437,312 units in April this year, kicking off the new fiscal on a strong note by carrying forward the demand momentum after GST rate cut last year, industry body SIAM said on Thursday.
Passenger vehicle dispatches stood at 3,48,847 units in April 2025, SIAM said in a statement, adding that despite concerns of high commodity prices emanating from the West Asia war, the auto industry has been witnessing good demand.
Utility Vehicles and Passenger Cars Drive Growth
Utility vehicles continued to be the volume driver in the PV segment clocking a growth of 21.5 per cent at 244,280 units as compared to 201,062 units in April last year.
Passenger car dispatches also rose by 32.7 per cent at 120,945 units last month as compared to 91,148 units in the year-ago period, SIAM said.
Sales of vans in the domestic market were at 13,087 units last month as compared to 11,438 units in April 2025, up 14.4 per cent, it added.
Two-Wheeler Segment Sees Significant Boost
Total two-wheeler sales rose 28.4 per cent to 18,72,691 units last month as against 14,58,784 units in April last year, it added.
Motorcycle sales in April 2026 were up 30.6 per cent at 11,38,452 units as against 871,666 units in the year-ago month.
Similarly, scooter sales grew by 26.2 per cent at 6,91,993 units last month as compared to 548,370 units in the same period last year, SIAM said.
Overall Vehicle Wholesales Surge
Three-wheeler dispatches to dealers were up 32.8 per cent last month at 65,668 units as against 49,441 units in the year-ago period, it added.
Overall vehicle wholesales across categories in April grew by 27.9 per cent at 23,16,671 units as compared to 18,11,876 units in the same month last year, SIAM said.
Commenting on the performance, SIAM director general Rajesh Menon said,"Continuing with the momentum of the second half of FY 2025-26, the first month of FY 2026-27, posted high double-digit growth in passenger vehicles, three-Wheelers and two-wheelers."
Though there are concerns of high commodity prices emanating from the disruptions in West Asia, industry has been witnessing good demand, he added.
