According to experts, even if an additional 5 per cent of people opt to buy new vehicles, it may bring a huge boost to the sector.
'And a majority will be in the top-end vehicle range.'
Passenger vehicle retail sales witnessed 3 per cent on-year decline in May with customers delaying purchases in several states due to India-Pakistan conflict and further softening of demand for entry-level models, dealers' body FADA said on Friday. The passenger vehicle registrations last month stood at 302,214 units, as compared to 311,908 units in May 2024.
For the first time in history, the luxury car market is poised to cross the sales mark of 50,000 units in 2024, with Mercedes leading the way
The Model Y's blend of minimalist design, advanced technology, and practical features certainly makes a strong case. But the true test will lie in its performance on Indian roads and the timely expansion of its charging infrastructure, says Rajesh Karkera/Rediff.
Siam argues that a 2040 ban could destabilise ongoing and future investments and threaten millions of jobs in the automotive value chain.
'It will take some more time because the affordability of these cars have changed drastically.'
Dealers across brands are slashing prices by Rs 20,000 to over Rs 1 lakh, depending on the car model.
Car market leader Maruti Suzuki India on Thursday said it will hike prices by up to Rs 32,500 across various models from February 1 to partially offset the rise in input costs. Due to rising input costs and operational expenses, the company plans to increase car prices, starting February 1, 2025, Maruti Suzuki India said in a regulatory filing.
Rising interest rates and anticipated launch of the Tata Nano has impacted the sales of entry level cars like the Maruti 800, and anlaysts expected the entry level market dynamics to change further post the Nano launch expected in the last quarter of the fiscal.
The Nano price point would see a 65 per cent increase in the number of families that can afford a car.
The US carmaker's entry into India is expected by the last quarter of the current financial year.
As there is a moderation in car sales, dealer stock levels across the entire industry have surged to alarming heights. However, the situation is under control at HMIL.
Audi, Mercedes and BMW will soon hot up the market.
Maruti Suzuki India and Tata Motors on Monday announced plans to increase vehicle prices from April, the second time in this year, in order to partially offset the impact of rising input costs. Maruti Suzuki said it plans to hike prices of its entire model range by up to 4 per cent from next month.
The meltdown in Dalal Street that wiped out investor wealth to the tune of 44 trillion in 2025 also seems to be having a ripple effect on the country's vibrant automobile retail sales.
'The choice is clear: We either embrace this transformation and cement our global leadership, or hesitate, lose ground, and fade into irrelevance.'
'Nearly all companies are extending festival offers for entry-level, sedan, and hatchback segments.'
The models from Hyundai and Maruti, which might go on sale in October 2018 and February 2019, respectively, are set to revive a segment that had lost sheen to the compact SUV segment, lately
The car, which is being rolled out from the company's plant at Chakan, in Maharashtra, comes with 1.6 litre petrol or diesel engine options.
The hatch competes with cars such as Maruti Alto and Hyundai i10.
The yet-to-be-named car, which will be priced in the Hyundai i-10 price bracket, had crossed the feasibility study stage and was in the final stages of design. "Cars below Rs 5 lakh constitute nearly 80 per cent of the total Indian market. India is predominantly a small car market and we have a clear strategy to grow in the Indian market," Thomas Kuehl, member, board of directors (sales and marketing), Skoda India.
Alto, the Maruti brand synonymous with small cars, introduced the new generation K10 on Thursday, aiming to consolidate its position further amid shrinking demand for hatchbacks. With prices starting at Rs 399,000 and going up to Rs 533,500 (for manual transmission), the new model claims fuel efficiency of 24.90 km per litre. The Japanese car maker, which has been selling 100 Altos every hour for the last 22 years, had discontinued the model in February 2020.
You'd love to take these pocket-friendly automatics for a spin
Passenger vehicle wholesales in India witnessed a marginal growth in May on account of high base effect and muted demand due to general elections. The overall passenger vehicle dispatches from companies to dealers stood at 350,257 lakh units last month as compared to 335,436 in the same month a year ago, registering a growth of 4 per cent.
Terming as "impossible" the Rs 1 lakh car that Tatas propose to roll out, particularly on safety aspects, Hyundai on Friday said it would like to bring an entry level car with a minimum price tag of $3000 like the one Renault is planning.
Carnation Auto, a multi-brand car service initiative by ex-Maruti Suzuki chief Jagdish Khattar, on Thursday launched a servicing facility for premium cars in Gurgaon in association with Fiat Group firm Magneti Marelli.
Sedans and hatchbacks have both lost market share to SUVs, which now account for more than 50% share of the 4 million-odd-unit PV market in the country.
Toyota is working on developing six subcompact cars as part of its global strategy to increase volumes in emerging markets over the next four years.
Toyota is working on developing six subcompact cars as part of its global strategy to increase volumes in emerging markets over the next four years.
Sales growth of entry-level cars or hatchbacks like WagonR and Alto have seen a decline during the past few years due to changing consumer preference. Maruti Suzuki chairman R C Bhargava had on October 28 said that he does not expect hatchback unit sales to grow in the fourth quarter (Q4FY23) or in the next fiscal year.
Passenger vehicle sales are expected to experience muted growth in the current financial year.
Compact sedans (Maruti Dzire, Hyundai Aura, Tata Tigor)' share in the overall sedan category grew from 68% in 2021 to 74.6% in 2024. Mid-sedans' (Honda City, Maruti Ciaz, Volkswagen Virtus) share declined from 26.2% in 2021 to 20.2%.
Undeterred by the scepticism shown by Maruti, the Tatas on Friday said they were working on the concept of the proposed entry-level car with Rs 100,000 price tag.
The tie-up would focus on financing of entry level cars from Maruti portfolio, which include the M800, Omni and Alto models, the company said. "Maruti Suzuki is keen to expand its presence in rural and semi urban markets. We have the right products and an excellent network across the country to support it. However, there is still lot to do in the direction of finance availability especially beyond metro towns," said MSI Chief General Manager (Sales) R S Kalsi.
The Centre should provide a clear regulatory pathway that it will follow so that automobile companies can plan their investments and car launches accordingly, Venkatram Mamillapalle, managing director (MD) & chief executive officer (CEO), Renault India Operations, said on Tuesday. Renault is planning to launch five cars - including a B-plus segment sport utility vehicle (SUV), a C-segment SUV and an electric vehicle (EV) - in India in the next three years, he told reporters. In early 2022, the ministry of road transport and highways had announced that cars in India would be required to have six airbags from October 1, 2022.
With more power, better performance and reasonably marked price tickets, these bikes are emerging as the perfect solution for India's youth.
What is your take on small cars? Do you think the hype about Ratan Tata's 1-lakh (Rs 100,000-) wonder is way too much?
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances