Tata Motors Rides GST 2.0, Festive Demand To Deliver Record September Sales

Tata Motors has reported its highest-ever monthly passenger vehicle sales at 60,907 units in September, marking a 47% year-on-year surge. The growth was driven by the rollout of GST 2.0 and festive demand during Navratri.

In September 2024, the automaker had clocked wholesales of 41,313 units. In the domestic market, dispatches to dealers jumped 45% to 59,667 units from 41,063 units in the year-ago period, the company said in a statement.

"The passenger vehicles industry marked a sharp upswing in demand during September 2025, following the rollout of GST 2.0, further buoyed by festive tailwinds. This surge in demand sets a promising tone for sustained growth in the months ahead," said Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles.

Chandra added that September 2025 was a "watershed month" for Tata Motors, with record sales across segments. EV sales surged over 96% year-on-year to 9,191 units, while CNG sales hit an all-time high of over 17,800 units, reflecting growth of more than 105% compared to the September quarter of FY25.

The Nexon led the charge with over 22,500 units sold — the highest-ever monthly sales for any Tata passenger vehicle. The Harrier and Safari also registered their best-ever combined sales, boosted by the popularity of the Adventure X edition and multiple powertrain options. Meanwhile, the Punch continued its momentum, strengthening its position in the compact SUV segment.

Chandra noted that new bookings doubled in the latter half of September after GST rates were cut. "With a strong booking pipeline, agile supply readiness, and rising demand driven by festive cheer and accessible pricing, we are well-positioned to carry this growth momentum in H2 FY26," he said.

On the commercial vehicles front, sales rose 19% year-on-year to 35,862 units. In the domestic market, dispatches were up 16% to 33,148 units, compared with 28,631 units a year earlier.

Tata Motors Executive Director Girish Wagh said that while July was impacted by monsoon-led weakness and August saw cautious sentiment ahead of GST 2.0, the onset of the festive season and tax relief brought a sharp turnaround in September.

The company also completed its restructuring exercise effective October 1, with the commercial vehicles business demerged into TML Commercial Vehicles Ltd and the passenger vehicles division consolidated within the parent entity.

Looking ahead, Wagh said the company expects strong growth in the second half of FY26, supported by festive demand, improving consumption, and the full impact of GST reforms.

(With inputs from PTI).