Domestic passenger vehicle (PV) wholesales in India rose 27 per cent year-on-year (YoY) to around 450,000 units in April, despite the ongoing West Asia conflict, supported by steady demand boosted by last year’s GST rate cuts.
Maruti Suzuki India Limited (MSIL), India’s largest carmaker, reported its highest-ever monthly domestic sales at 187,704 units, up 35.3 per cent YoY.
Speaking at a video press conference, Senior Executive Officer (Marketing and Sales), MSIL, said the industry’s growth reflects underlying demand strength rather than a low base. Domestic PV industry wholesales are estimated at 445,000–450,000 units, compared to about 354,000 units in April last year, he added.
He said multiple tailwinds are supporting demand, including “GST 2.0, the income tax relief given in Budget last year and the reduction in the repo rate by the Reserve Bank of India (RBI)”.
“As long as the tailwinds are there, I think there is no rhyme and reason why the auto industry should not grow,” he added, while cautioning that a sharp rise in fuel prices — due to the ongoing conflict in West Asia — could affect entry-level car demand.
He talked about the rising role of rural markets for MSIL, with rural penetration in the company’s total sales increasing to 52.3 per cent in April. This penetration was 2.4 percentage points lower in April last year. “Our strategy of moving further into the hinterland… is clearly showing,” he said, adding that the company has expanded its retail network aggressively in smaller towns.
MSIL’s SUVs continued to see strong traction, with their sales of about 55,000 units in April, contributing roughly 30 per cent to the portfolio. At the same time, he pointed to a revival in small cars. “We are seeing a huge growth in the mini segment,” he said, attributing it to improved production and demand from two-wheeler owners upgrading.
When asked if the West Asia conflict has had any impact on MSIL’s production, its Senior Executive Officer (Corporate Affairs), Rahul Bharti, said that while uncertainty remains in the market, the company’s management has taken enough steps to de-risk so that there is no dependence on any particular geography. Therefore, MSIL’s exports grew by 43.5 per cent YoY to 40,054 units.
Bharti added that the export growth in FY27 is expected to be similar to that of FY26.
Banerjee, meanwhile, confirmed that production of hatchback model Ignis in its current form has been stopped as part of regular portfolio refresh cycles. “The Ignis brand stays there… the brand is more important than the product,” he said, adding it could return “in a different avatar”.
Among other automakers, Tata Motors Passenger Vehicles saw a sharp jump in domestic PV sales to 59,000 units in April from 45,199 units a year earlier, reflecting a 30.5 per cent YoY increase and a strong rebound in volumes.
Mahindra & Mahindra reported sales of 56,331 units, up from 52,330 units, translating into a 7.6 per cent growth, indicating steady demand momentum.
Hyundai Motor India posted sales of 51,902 units compared to 44,374 units last year, registering a 17 per cent rise. Toyota Kirloskar Motor recorded sales of 30,159 units, up from 24,833 units, marking a 21.4 per cent increase, while Kia India reported 27,286 units, growing 15.5 per cent over 23,623 units in April last year.
