- India's retail vehicle sales increased by 25.6% in February
- Strong demand noted for two-wheelers and passenger vehicles
- Federation of Automobile Dealers Associations issued the report
India's retail vehicle sales rose 25.6% in February on strong demand for two-wheelers and passenger vehicles, the Federation of Automobile Dealers Associations (FADA) said in a report released on Thursday, March 5, terming February as the "landmark month for the Indian auto retail sector".
The total vehicle sales during the last month stood at 24.09 lakh units, marking a 25.62% annual growth. Looking ahead to March, FADA estimated that dealer sentiment would remain largely positive, with 75.51% of dealers expecting growth, while 19.90% foresee a stable market and only 4.59% anticipate a decline.
On an annual basis, two-wheelers recorded 17,00,505 units of sales, with a growth of 25.02%. FADA said that growth remained broad-based with urban markets rising 28.96% yoy and rural markets growing 22.16% yoy. This growth reflects steady demand across commuter as well as rural segments.
Three-wheeler sales grew by 24.39% last month, while passenger vehicles saw a 26.12% yoy surge in demand, and commercial vehicle sales rose by 28.89%. This reflects healthy demand across both personal mobility as well as economic activity-driven segments.
FADA president C S Vigneshwar said: "Feb'26 has turned out to be a landmark month for the Indian auto retail sector, further strengthening the positive momentum seen after the GST 2.0 announcement."
Noting that the growth surpassed the previous best of February 2024, Mr. Vigneshwar observed the growth was broad-based across almost all segments.
Overall, the next three months still appear cautiously optimistic-the growth momentum is intact, but compared to the sharper optimism seen earlier, the survey now indicates that the industry may gradually move from a phase of strong rebound to a phase of more stable and calibrated growth, FADA said.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
