India's automobile industry has started FY27 with the kind of momentum that would make any manufacturer smile: nearly every segment — from motorcycles to sport utility vehicles — is moving in the right direction. Domestic vehicle wholesales rose 27.9% year-on-year to 23.17 lakh units in April, while exports climbed an even sharper 38% to 6.28 lakh units, according to data released by the Society of Indian Automobile Manufacturers (SIAM).
Passenger vehicle sales reached a record 4.37 lakh units in April, up 25.4% from a year earlier, according to SIAM. Even excluding Tata Motors from the detailed segment break-up, dispatches rose 24.6% to 3.78 lakh units.
Utility vehicles remained the industry's workhorse, with sales climbing 21.5% to 2.44 lakh units, accounting for nearly two-thirds of passenger vehicle dispatches. Passenger cars grew an even faster 32.7%, suggesting demand is broadening beyond premium SUVs.
Add image caption here
Made in India Cars See Export Surge
India's emergence as a manufacturing hub for global automakers is becoming increasingly visible in the export data. Passenger vehicle exports rose 13.3% year-on-year to 67,308 units in April, while total vehicle exports across categories jumped 38% to 6.28 lakh units.
Automakers such as Hyundai Motor India and Tata Motors have steadily expanded India's role in their global supply chains, using domestic plants to ship compact SUVs, hatchbacks and electric vehicles to markets across Latin America, Africa, the Middle East and Europe.
Two-Wheelers Roar Back
Two-wheelers, often seen as the clearest indicator of mass-market demand, posted a 28.4% increase to 18.73 lakh units. Motorcycle sales rose 30.6%, while scooters gained 26.2%. Exports from the segment jumped 38.3%, highlighting improving demand in overseas markets as well.
Three-wheelers also recorded their highest-ever April sales, rising 32.8% to 65,668 units, aided by a sharp increase in goods carriers and passenger transport vehicles.
Demand Remains Resilient
“Continuing with the momentum of the second half of FY 2025-26, the first month of FY 2026-27 posted high double-digit growth,” said Rajesh Menon. He noted that although disruptions in West Asia have raised concerns about commodity prices, “Industry has been witnessing good demand.”
For automakers, April offered an encouraging signal that both domestic consumption and export competitiveness are strengthening at the same time — a combination that could keep the sector firmly in the fast lane through the rest of FY27.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
