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India’s auto sales touch record high this Diwali on GST cuts, festive demand



<p>The robust performance across Maruti Suzuki, Tata Motors, and Hyundai highlights the growing demand for both traditional and electric vehicles in India.</p>
<p>“/><figcaption class= The robust performance across Maruti Suzuki, Tata Motors, and Hyundai highlights the growing demand for both traditional and electric vehicles in India.

New Delhi: India’s leading automobile manufacturers have reported their best-ever Diwali season, boosted by recent GST reforms, repo rate relief, and robust consumer sentiment during the festival period from Navaratri to Diwali.

According to Business Standard, early industry estimates, passenger vehicle sales grew between 15 per cent and 35 per cent year-on-year.

Industry experts expect overall sales for the festive period to set new records once final numbers are tallied.

C S Vigneshwar, president of the Federation of Automobile Dealers Associations (FADA), said the surge reflects strong consumer confidence, supported by the GST rate cuts on 22 September.

Vinkesh Gulati, chairperson of the Automotive Skills Development Council, noted that sales momentum built steadily over the last 50 days, post the GST reforms.

Performance across segments

Maruti Suzuki recorded 450,000 bookings during the festive season, with retail sales reaching a record 325,000 units. On Dhanteras alone, the company sold over 51,000 units, following a price reduction on 18 September to pass on GST benefits. Partho Banerjee, senior executive officer (marketing and sales) at Maruti Suzuki India, said the company was now receiving nearly 14,000 bookings per day, with small-car sales hitting 94,000 units.

Tata Motors delivered over 100,000 vehicles, a 33 per cent increase over last year, led by its SUV segment. The Nexon, India’s bestselling car in September 2025, recorded more than 38,000 retail sales, up 73 per cent year-on-year, while the Punch sold 32,000 units, a 29 per cent increase. Tata’s electric vehicle portfolio also performed strongly, with over 10,000 EVs sold, up 37 per cent.

Shailesh Chandra, MD and CEO of Tata Motors Passenger Vehicles, said the growth underscores the company’s commitment to product leadership and market relevance.

Hyundai Motor India reported a 30 per cent year-on-year rise in retail sales, averaging around 2,500 cars a day. Enquiries rose 10 per cent, with over 18,000 customer queries daily, while bookings averaged 3,500 per day, a 17 per cent increase over last year.

During the Dhanteras period, Hyundai delivered about 14,000 cars, 20 per cent more than last year, according to Tarun Garg, whole-time director and COO.

The robust performance across Maruti Suzuki, Tata Motors, and Hyundai highlights the growing demand for both traditional and electric vehicles in India, positioning automakers for a strong year-end performance.

  • Published On Oct 22, 2025 at 12:23 PM IST

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