Record-Breaking Car Sales in India Fuelled by GST Cuts and Festive Fervour

Strategic Insights -

The GST cut and festive fervour propelled car and SUV sales in India to a record high in October, with estimates suggesting passenger vehicle retails between 5.5 lakh and 5.7 lakh units. Major car manufacturers such as Maruti Suzuki, Tata Motors, Hyundai, and Toyota, along with luxury makers like Mercedes-Benz and BMW, witnessed strong sales. Maruti Suzuki, in particular, saw a 20% growth in retails, selling 2.4 lakh units.

Key Takeaways:

  • Maruti Suzuki witnessed a 20% growth in retails, selling 2.4 lakh units, with entry-level cars such as Alto, S Presso, WagonR, and Celerio seeing a significant surge following significant price cuts.
  • Tata Motors reported retail sales of around 75,000 units, recording a 15% growth, with the company attributing the milestone to GST cuts and festivities.
  • Hyundai India witnessed robust market demand and high consumer enthusiasm, expecting to accelerate this momentum.
  • The record numbers were not just confined to the domestic market, but even extended to exports, with Maruti exporting 31,304 units in October 2025, surpassing its annual export target of 400,000 units.
  • Luxury brands such as Mercedes-Benz and BMW also recorded strong retails, with Mercedes-Benz MD & CEO, Santosh Iyer, stating that bookings and retails had been strong throughout October.
  • Skoda Auto India's Brand Director, Ashish Gupta, said the GST reform helped set the stage for a strong and positive festive season, with the company achieving its highest-ever monthly sales in its 25-year journey in India.

Statistics:

  • Estimated passenger vehicle retails in October: 5.5 lakh - 5.7 lakh units
  • Maruti Suzuki retails in October: 2.4 lakh units (up 20% from previous year)
  • Tata Motors retail sales in October: around 75,000 units (up 15% from previous year)
  • Maruti Suzuki exports in October 2025: 31,304 units
  • Maruti Suzuki annual export target: 400,000 units

Sources:

  • "Byline: Pankaj Doval NEW DELHI:..." (Times of India)
  • Partho Banerjee, Senior Executive Officer (Marketing & Sales) at Maruti Suzuki ( Times of India)
  • Shailesh Chandra, MD & CEO of Tata Motors Passenger Vehicles (Times of India)
  • Tarun Garg, COO of Hyundai India (Times of India)
  • Gaurav Vangaal of S&P Global Mobility (Times of India)
  • Santosh Iyer, MD & CEO of Mercedes-Benz (Times of India)
  • Ashish Gupta, Brand Director at Skoda Auto India (Times of India)
  • Rahul Bharti, Senior Executive Officer at Maruti Suzuki (Times of India)