India's Auto Retail Sector Shows Modest Growth in April 2025, Fuelled by Rural Demand
- By MT Bureau
- May 05, 2025
The Federation of Automobile Dealers Associations (FADA) today released its April 2025 vehicle retail data, revealing a moderate overall growth of 3 percent YoY.
The two-wheeler segment emerged as the primary growth driver, registering a 2.25 percent increase in retail sales compared to April 2024 and a significant 11.84 percent MoM growth. FADA attributes this positive momentum to strong rural demand. However, the sector continues to face headwinds in the form of high financing costs and the pricing impact of OBD-2B emission norms.
The tractor segment demonstrated robust growth, with a 7.5 percent increase in retail sales year-on-year. This strong performance likely reflects the positive sentiment stemming from a strong Rabi harvest, which typically boosts agricultural activity and consequently, tractor demand.
In contrast to the strong performance of two-wheelers and tractors, the passenger vehicle segment experienced a modest 1.55 percent YoY growth, while witnessing a slight dip of 0.19 percent on MoM basis. The auto retail body attributes that deep discounts are prevalent in the market and while the demand for SUVs remains strong, the entry-level segment continues to exhibit sluggishness. FADA also noted that the PV inventory levels are currently around 50 days, significantly higher than their advocated norm of 21 days.
The commercial vehicle segment faced a contraction, with retail sales declining by 1.05 percent YoY and 4.44 percent on MoM basis. FADA suggests that recent price hikes by OEMs and flat freight rates are negatively impacting sales. Within the CV segment, the Small Commercial Vehicle category saw weak demand, while the bus segment remains steady.
Looking ahead to May 2025, FADA anticipates a positive outlook, primarily driven by the strong conclusion of the Rabi harvest. The expectation of a normal monsoon further strengthens this positive sentiment, suggesting continued momentum in rural demand which could positively influence vehicle sales across various segments.
In a significant development, FADA has begun releasing fuel-wise vehicle retail market share data across all key categories. This new initiative aims to provide stakeholders with a granular understanding of evolving energy preferences and the impact of regulatory influences on India's automotive ecosystem.
C S Vigneshwar, President, FADA, said, “The new financial year began on a measured note as overall retails in April managed to grow by 3 percent YoY. All categories except CV closed in the green, with 2W, 3W, PV and Trac up 2.25 percent, 24.5 percent, 1.5 percent and 7.5 percent respectively, while CVs declined by 1 percent. With the tariff war paused, stock markets staged a sharp pullback – alleviating investor concerns – and customers thus leveraged Chaitra Navratri, Akshay Tritiya, Bengali New Year, Baisakhi and Vishu to complete purchases, helping April end on a positive note.”
| Category | Apr '25 | Apr '24 | Change (in units) | Change (in %) | Mar '25 | Change (in %) |
| YoY | YoY | MoM | ||||
| Two-wheeler | 1,686,774 | 1,649,591 | 37,183 | 2.25% | 1,508,232 | 11.84% |
| Three-wheeler | 99,766 | 80,127 | 19,639 | 24.51% | 99,376 | 0.39% |
| E-Rickshaw (P) | 39,528 | 31,811 | 7,717 | 24.26% | 36,097 | 9.50% |
| E-Rickshaw with Cart (G) | 7,463 | 4,215 | 3,248 | 77.06% | 7,222 | 3.34% |
| Three-wheeler (Goods) | 10,312 | 9,080 | 1,232 | 13.57% | 11,001 | -6.26% |
| Three-wheeler (Passenger) | 42,321 | 34,959 | 7,362 | 21.06% | 44,971 | -5.89% |
| Three-wheeler (Personal) | 142 | 62 | 80 | 129.03% | 85 | 67.06% |
| Passenger Vehicle | 349,939 | 344,594 | 5,345 | 1.55% | 350,603 | -0.19% |
| Tractor | 60,915 | 56,635 | 4,280 | 7.56% | 74,013 | -17.70% |
| Commercial Vehicle | 90,558 | 91,516 | -958 | -1.05% | 94,764 | -4.44% |
| LCV | 46,751 | 47,267 | -516 | -1.09% | 52,380 | -10.75% |
| MCV | 7,638 | 6,776 | 862 | 12.72% | 7,200 | 6.08% |
| HCV | 31,657 | 32,590 | -933 | -2.86% | 29,436 | 7.55% |
| Others | 4,512 | 4,883 | -371 | -7.60% | 5,748 | -21.50% |
| Total | 2,287,952 | 2,222,463 | 65,489 | 2.95% | 2,126,988 | 7.57% |
- Murugappa Group
- Arunachalam Vellayan
- Coromandel International
- EID Parry
- EXIM Bank
- Kanoria Chemicals & Industries
- Indian Overseas Bank
Murugappa Group’s Former Chairman Arunachalam Vellayan Passes Away At 72
- By MT Bureau
- November 18, 2025
Chennai-based conglomerate Murugappa Group has announced the passing of Arunachalam Vellayan (1953–2025) following an illness.
Vellayan was the Chairman Emeritus of Coromandel International and the Former Chairman of the Murugappa Group. He is survived by his wife, Lalitha Vellayan, his sons, Arun Vellayan and Narayanan Vellayan, and his grandchildren.
The Former Chairman dedicated several decades to the Group, providing strategic direction across its businesses. His approach to value creation helped strengthen and expand the Group, contributing to its reputation as a respected conglomerate.
He served on the Boards of various Murugappa Group companies, including as Chairman of Coromandel International and EID Parry.
Outside the Group, he served on the Boards of entities such as Kanoria Chemicals & Industries, EXIM Bank and Indian Overseas Bank.
- Tata AutoComp Systems
- Tata AutoComp Hendrickson Suspensions
- Arvind Goel
- Manoj Kolhatkar
- Deming Prize
- Tata Ficosa
Tata AutoComp Wins Third Deming Prize, Tata AutoComp Hendrickson Suspension Becomes First In Segment
- By MT Bureau
- November 17, 2025
Tier 1 automotive supplier Tata AutoComp Systems has won the Deming Prize for the third time in two years. The award recognises organisations for excellence in Total Quality Management (TQM) and continuous improvement.
It was on 5th October, Motoring Trends first broke the news that Tata AutoComp Hendrickson Suspensions, a business unit of Tata AutoComp Systems, had become the latest recipient of the prize, becoming the world’s first commercial vehicle suspension system manufacturer to receive the honour. The company's other two business units that won the Deming Prize were the Composites Division and Tata Ficosa, both awarded in 2024.
Arvind Goel, Vice-Chairman – Tata AutoComp Systems, said, “Winning back-to-back Deming Prizes in 2024 and 2025, three prizes in two years, is a proud milestone that emphasises the paramount importance of Total Quality Management in our organisation. As we expand into new segments, geographies and technologies, quality management remains our foremost priority. This achievement is a testament to our collective dedication. TQM is a people’s movement and every employee has played a pivotal role in this journey. Building on this momentum, we have a well-defined and ambitious plan for other BUs to adopt the TQM way and pursue the Deming Prize.”
Manoj Kolhatkar, MD & CEO, Tata AutoComp Systems, added, “Total Quality Management is a people’s movement, and the Deming Prize reflects how we are enabling a quality mindset, driving customer-centric transformation, and promoting sustainable growth through quality leadership.”
NITI Aayog's Pushpinder S Puniha Joins Blue Ocean Advisory Board
- By TT News
- November 11, 2025
Blue Ocean Corporation, a globally recognised leader in supply chain consulting and training, is strengthening its engagement with India's evolving economic landscape through a significant strategic appointment. The company has welcomed Pushpinder S Puniha, a distinguished figure who chairs the Consultative Group on Tax Policy at NITI Aayog, to its Advisory Board. This move is designed to create a powerful synergy between high-level policy expertise and practical industry application.
Puniha’s arrival coincides with a period of profound structural change within the Indian economy, where modernising supply chains, implementing tax reforms and executing policy-driven initiatives are central to national progress. His deep expertise in fiscal governance and public policy will equip Blue Ocean with critical insights, enabling the firm to precisely align its consulting, training and capacity-building programmes with the country's development goals. This collaboration not only accelerates Blue Ocean’s expansion within India but also solidifies its commitment to cultivating a robust supply chain ecosystem and a highly skilled workforce. The appointment acts as a strategic bridge, connecting the government’s economic vision with global professional standards.
By integrating thought leadership from India's premier policy institution, Blue Ocean ensures its services directly support national campaigns such as Make in India and Skill India while remaining forward-looking and relevant. Puniha’s recent participation at the company's International Procurement and Supply Chain Conference in New Delhi underscores this shared mission to merge international best practices with India's ambitions for sustainable growth. As an Indian-owned multinational, Blue Ocean is actively broadening its domestic footprint with new offices in Tier 1 and 2 cities. Puniha’s advisory role is anticipated to be a catalyst in this expansion, reinforcing the corporation's position as a key partner in India's journey towards becoming a USD 5 trillion economy and a global hub for talent.
Sourav Ganguly, Member of Board at Blue Ocean Corporation, said, "Having worked with Puniha earlier at the BCCI, I know the value he brings through his expertise and professionalism. It is a privilege to work with him again at Blue Ocean, where his presence on the Advisory Board will help us drive our future growth and impact."
Puniha said, "At Blue Ocean, I see a strong commitment to aligning global expertise with India’s economic priorities. Together, we will drive initiatives that build skilled talent and strengthen India’s position as a global supply chain hub."
Dr Sathya Menon, Group CEO of Blue Ocean Corporation, said, "India is positioning itself as the world’s supply chain hub. Puniha’s expertise will strengthen our India strategy and make our initiatives more impactful."
- Tata Motors
- Tata Motors Passenger Vehicles
- Tata Passenger Electric Mobility
- Society of Indian Automobile Manufacturers
- Organisation Internationale des Constructeurs d’Automobiles
- OICA
- Hildegard Muller
- VDA
- Verband der Automobilindustrie
Tata Motors’ Shailesh Chandra Becomes First Indian President Of OICA
- By MT Bureau
- November 10, 2025
Shailesh Chandra, the Managing Director of Tata Motors Passenger Vehicles & Tata Passenger Electric Mobility, who is also currently the President of the Society of Indian Automobile Manufacturers (SIAM), has been elected the new President of the Organisation Internationale des Constructeurs d’Automobiles (OICA), effective 1 November 2025.
This makes Chandra the first Indian to lead the global federation, succeeding John Bozzella of the USA.
Founded in 1919, the OICA represents 36 national associations of motor vehicle manufacturers worldwide, focusing on issues of mobility, environment, safety, and economy and promotes harmonised technical regulations through the United Nations.
“It is an honour to become the first OICA President from India, which is highlighting the organisation’s global representation. As the global automotive industry transitions towards sustainable mobility and pursuits ‘Net Zero’, in alignment with the visions of Governments worldwide, the role of OICA becomes increasingly critical – to acknowledge the diversity of every region, as we collectively strive to make our vehicles more aspirational, safer and environmentally friendly,” said Chandra.
Chandra's background includes over two decades of automotive experience with Tata Motors, where he is credited with turning around the passenger vehicle business and spearheading the electric vehicle segment in India. He holds a Mechanical Engineering degree from IIT Varanasi.
On the other hand, Hildegard Muller, President of Germany's Verband der Automobilindustrie (VDA), was elected OICA's Vice President. Her appointment recognises her leadership within Europe's automotive sector and her experience in industry and government, which includes serving as a former Minister of State to the German Chancellor. Muller has led the VDA since 2020, navigating the German automotive industry through challenges related to electrification and global trade.

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