NEW DELHI, August 14, 2025:The Indian automobile market showed resilience in July, driven by advancements in electric mobility, a surge in demand for utility vehicles, and strong exports, even as passenger car sales declined and e-rickshaw volumes plummeted, according to the Society of Indian Automobile Manufacturers (SIAM).
Scooter sales, which included several electric models, increased by 16.2% year on year to 643,169 units, outpacing overall two-wheeler growth of 8.7% to 1,567,267 units.
In the three-wheeler category, e-carts surged by 161.6% to 463 units, whereas e-rickshaw volumes fell sharply by 53.3% to 1,053 units.
Passenger vehicle sales dipped by 0.2% to 340,772 units. However, utility vehicles were a bright spot, demonstrating a 21.4% increase in July, while passenger cars and vans remained flat or decreased. Excluding Tata Motors’ data, passenger vehicle sales totalled 301,251 units.
Kia Gains Ground as Hyundai DeclinesKia India’s domestic passenger vehicle sales increased to 88,698 units from 81,275 the previous year, driven by consistent demand for SUVs. In contrast, Hyundai Motor India’s sales fell to 176,232 units from 198,468 units, with July sales falling to 43,973 from 49,013. Both companies are major players in the SUV market, but Kia’s expansion coincides with Hyundai’s declines in both passenger car and SUV sales.
Mahindra’s SUV Success Narrows Gap with Maruti
Mahindra & Mahindra saw the greatest absolute gain in passenger vehicles, increasing domestic sales to 201,938 units from 165,871, owing primarily to utility vehicles. Maruti Suzuki retained its status as India’s leading carmaker, selling 531,348 passenger vehicles, though this is a decrease from 556,577 units the previous year. In July, Maruti’s passenger vehicle sales remained steady at 137,776 units.
Motorcycle sales saw a 4.7% year-on-year increase, totalling 890,107 units, mainly driven by commuter models, while moped sales fell by 9.5% to 33,991 units. The two-wheeler segment benefited from a recovery in rural markets and pre-festive stocking.
Exports across all categories rose by 24.4% from April to July. Passenger vehicle exports grew by 12%, and two-wheeler shipments surged by 25.9%, with motorcycles increasing by 30.6%.
Maruti’s Mixed Month; Tata Motors Sees Q1 Slowdown
Maruti’s April–July data shows passenger-car sales falling 6.9% year-on-year, utility vehicles down 2.2%, and vans off 0.6%. July offered some respite, with passenger cars up 4.9% and vans up 3.6%, but utility-vehicle volumes fell 6.3% from a year earlier. Tata Motors’ domestic sales, available only for April–June, dropped 9.7% year-on-year to 129,369 units, with utility-vehicle volumes sliding 9.4% and vans providing a modest gain.
“All vehicle segments showed stable performance in July 2025; however, overall sentiment in the passenger vehicle segment remains subdued, with a slight decline of 0.2% compared to July 2024, resulting in sales of 341,000 units in July 2025,” said SIAM Director General Rajesh Menon.
Three-wheelers posted their best-ever July performance at 69,403 units, up 17.5% from a year ago, led by passenger carriers, which grew 21.4% to 58,693 units. Goods carriers rose 10.6% to 9,194 units, reflecting steady demand in urban freight.
“With the festive season commencing with Onam celebrations in late August, the Indian auto industry is cautiously optimistic about demand momentum picking up in the coming months.” Rajesh Menon, SIAM DG, said
