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Auto Sales October 2025: Festive Season Fuels Record Highs as TVS, Tata Motors Shine

Last updated on 5 Nov 2025 Wraps up in 4 minutes Read by 10

India’s auto sector recorded its strongest month of FY26 in October 2025, powered by a convergence of festive demand, the rollout of GST 2.0, a rural market recovery, and resilient exports. Both passenger vehicles and two-wheelers saw double-digit growth, with automakers dispatching a record 4.7 lakh cars, sedans, and SUVs, a 17% year-on-year (YoY) increase. Companies with strong SUV and EV portfolios, like Tata Motors and Mahindra & Mahindra, along with export-focused players like TVS Motor, were standout performers.​

This analysis breaks down the performance of India's auto industry in a historic month, detailing the sales figures of key players and the major trends shaping the market.

Table of Contents

  1. Passenger Vehicles: SUVs Drive Record-Breaking Sales
  2. Two-Wheelers: Festive Cheer and Rural Recovery Boost Volumes
  3. Electric Vehicles: A Mixed Bag of Soaring Growth and Notable Stumbles
  4. Commercial Vehicles and Tractors: Steady Upward Trend
  5. Outlook: Will the Momentum Continue?
  6. Frequently Asked Questions (FAQs)

Passenger Vehicles: SUVs Drive Record-Breaking Sales

The festive period fueled record volumes for most automakers, with SUVs continuing to be the primary growth driver. Tata Motors and Mahindra & Mahindra led the charge with exceptional growth, while Maruti Suzuki maintained its leadership by scale.​

  • Maruti Suzuki: The industry leader reported its highest-ever monthly domestic sales, with dispatches growing by 10.5% YoY to 1,76,318 units. Growth was primarily driven by its SUV lineup, including the Brezza and Fronx.​

  • Mahindra & Mahindra: The SUV major also clocked its highest-ever monthly SUV sales of 71,624 units, a remarkable 31% YoY growth, led by strong demand for the Scorpio-N, Thar, and XUV700.​

  • Tata Motors: Recorded its second consecutive month of record-breaking wholesales at 61,295 units, a 27% YoY increase. The performance was dominated by its SUV portfolio, which accounted for an unprecedented 77% of its sales.​

  • Hyundai Motor India: Domestic sales were slightly down, but the company maintained a strong performance with its Creta and Venue SUVs, which recorded combined sales of over 30,000 units.​

Two-Wheelers: Festive Cheer and Rural Recovery Boost Volumes

The two-wheeler segment saw strong double-digit expansion, supported by festive demand and a recovery in the rural market.

  • TVS Motor: Had a standout month, recording its highest-ever monthly sales of 5,43,557 units, an 11% YoY growth. Both domestic sales and exports saw strong momentum.​

  • Royal Enfield: Also posted its best-ever festive season performance, with total sales of 1,24,951 motorcycles, a 13% YoY increase, driven by strong demand for its 350cc models.​

  • Bajaj Auto: Reported a 7% YoY growth in total sales, driven by a strong recovery in exports.​

  • Hero MotoCorp: While total wholesales saw a slight decline, the company's EV brand, VIDA, saw a 117% YoY jump in registrations, and its scooter segment grew by 50%.​

Electric Vehicles: A Mixed Bag of Soaring Growth and Notable Stumbles

The EV segment continued its expansion, with total registrations hitting a record high of 2.34 lakh units.​

  • Tata Motors led the passenger EV space with a record 9,286 units sold, a 73% YoY increase, driven by its popular Nexon.ev and the new Harrier.ev.​

  • In the electric two-wheeler space, Ather Energy had a record-breaking month, with sales surging 73% YoY to over 28,000 units.

  • TVS iQube also continued its strong run, with over 32,000 units sold.

  • In a surprising turn, Ola Electric faltered, with sales dropping a massive 61% YoY to just over 16,000 units, reportedly due to after-sales service issues and a temporary sales halt in some regions.

Commercial Vehicles and Tractors: Steady Upward Trend

The commercial vehicle (CV) and tractor segments also benefited from the positive economic sentiment.

  • Tata Motors' CV sales grew by 10% YoY, while Ashok Leyland's sales jumped by 16%.​

  • In the farm equipment space, Escorts, Kubota and Mahindra's tractor divisions reported strong growth, aided by a favourable monsoon and robust rural sentiment.​

Outlook: Will the Momentum Continue?

The record-breaking sales in October were heavily influenced by the festive season and the one-time impact of GST 2.0. While this level of growth may moderate in the coming months, the underlying demand trends remain positive. The strong performance of SUVs and EVs, coupled with a recovery in the rural market and growing exports, provides a solid foundation for the industry's continued growth heading into 2026.

Frequently Asked Questions (FAQs)

1. Which companies achieved record-high sales in October 2025?
Maruti Suzuki, Mahindra & Mahindra, Tata Motors, and TVS Motor all reported their highest-ever monthly sales in October 2025.​

2. Why did Ola Electric’s sales fall so sharply?
Reports suggest that Ola Electric's sales were impacted by after-sales service complaints and a temporary suspension of sales in some regions, which affected consumer confidence.

3. Which EV makers led the market in October?
In the passenger vehicle segment, Tata Motors was the clear leader. In the electric two-wheeler space, Ather Energy and TVS Motor showed very strong performances, while Bajaj Auto also saw a significant surge.

4. What were the main drivers of growth for the auto industry in October?
The key drivers were the festive season (Dussehra and Diwali), price reductions from the implementation of GST 2.0, a recovery in rural demand, and strong growth in the SUV and EV segments.​

5. What is the outlook for the auto industry for the rest of FY26?
While the record-breaking pace may moderate post-festive season, the outlook remains positive. Strong order books, improving rural sentiment, and the accelerating adoption of EVs are expected to sustain the growth momentum.

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