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.”

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German automotive major the BMW Group has received the ‘Global New Energy Vehicle Innovative Technology’ award at the 2026 World New Energy Vehicle Congress (WNEVC) in China.

The company was recognised for its sixth-generation (Gen6) high-voltage battery system, which uses round battery cells with a high-nickel cathode. The BMW Group was the sole non-Chinese automotive manufacturer to receive a technology award at the event.

The Gen6 battery system serves as a component of the company's upcoming ‘Neue Klasse’ vehicle platform, which will be integrated across its electric vehicle lineup. In developing the sixth-generation eDrive technology, the BMW Group filed over 500 patent applications. The battery architecture utilises an 800-volt system, bidirectional charging capability and a cell-to-pack design that integrates cylindrical cells directly into the battery pack without intermediate module structures.

Jochen Goller, Member of the Board of Management, BMW AG responsible for Customer, Brands, Sales, said, “We are very proud to receive this international award for our Gen6 high-voltage battery. It confirms our long-term approach of combining technological innovation with the highest standards of quality and safety and genuine customer relevance. With the Neue Klasse, we are setting new benchmarks in this area.”

Thomas Engelhardt, Senior Vice-President Development High-Voltage Batteries, Charging at the BMW Group, said, “The Gen6 high-voltage battery represents a technological leap across all customer-relevant features. Its innovative, flat design with cylindrical cells paves the way for greater range and faster charging, while maintaining the highest level of safety. As a core technology of the Neue Klasse, it forms the foundation for fully-electric driving pleasure across the entire BMW portfolio.”

The battery system incorporates steel-housed round cells, multi-stage insulation and thermal management features. The energy management functions are directed by the ‘Energy Master’ unit, featuring hardware and software developed in-house by BMW to manage power distribution, vehicle electrical system supply and battery data processing. The Energy Master system provides compatibility with both 400-volt and 800-volt charging infrastructure and allows for the integration of alternative cell chemistries.

The presentation marks the fifth consecutive year and sixth time overall that the BMW Group has received recognition at the World New Energy Vehicle Congress, an annual industry conference bringing together automotive, academic and government representatives to discuss electric vehicle developments.

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Japanese automotive component supplier Toyoda Gosei Co has announced plans to establish a new manufacturing facility in the Bidkin Industrial Area in Maharashtra.

The plant will produce interior and exterior components, including bumpers and instrument panels, alongside safety systems such as airbags and steering wheels and functional components like plastic fuel filler pipes.

It will commence operations in the first half of 2029 to supply Japanese car manufacturers operating in the country, including Toyota Kirloskar Motor, which is constructing a vehicle plant in the same industrial zone.

The development represents Toyoda Gosei’s eighth location in India and will operate as a branch plant under its subsidiary, Toyoda Gosei South India.

The site covers approximately 78,400 square metres of land with a planned building area of 29,200 square metres. Toyoda Gosei plans an investment of approximately INR 5.758 billion (JPY 9.3 billion) for the project, with projected workforce numbers reaching around 570 employees by 2030.

The facility will incorporate equipment including electric injection moulding machines with automated mould-changing systems, a bumper painting booth, automated guided vehicles and rooftop solar panels.

Production processes will integrate Internet of Things technology, digital transformation systems, collaborative robots, and mechanical mechanisms derived from Karakuri design principles.

The expansion comes as product demand in India shifts from compact cars toward sport utility vehicles. Toyoda Gosei intends to utilise the new facility to expand its local development and manufacturing network across the region.

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Pune-headquartered automotive company Kinetic Engineering has announced an investment of approximately INR 570 million to support its capital expenditure requirements and expand its electric two-wheeler segment.

The company shared that it intends to deploy INR 170 million toward CAPEX, while INR 400 million will be directed toward electric vehicle manufacturing and distribution. The capital injection is being executed through the final tranche conversion of 4,451,000 warrants issued to promoters in March 2025.

The investment follows an increase in the company's dealer network and product distribution footprint. Kinetic Engineering has signed letters of intent with over 150 dealers across India, with 60 dealerships operational featuring sales, service and spare parts operations. Promoter shareholding in Kinetic Engineering has increased from 50 percent to 69.27 percent over the past four years.

In its electric two-wheeler business, the company is focusing on its Kinetic DX and DX+ scooter models, which incorporate 3.1 kWh lithium iron phosphate battery packs that deliver a range of up to 132 kilometres under Indian Driving Cycle test conditions.

Ajinkya Firodia, Vice-Chairman and Managing Director, Kinetic Engineering, said, "Kinetic Engineering is entering an exciting phase of growth, with strong momentum across both our automotive components and electric mobility businesses. Our auto-components business is seeing a healthy pipeline of new orders, which will support growth and help us work towards our target of improving EBITDA margins to around 12%. At the same time, the response to our Kinetic DX electric scooter has been encouraging, giving us confidence to expand our presence across markets. With continued investments in capacity, technology and our retail network, we are focused on scaling both businesses and building Kinetic into a leading and enduring player in India’s electric mobility segment."

The company aims to secure a position among the top ten electric vehicle brands in India as industry projections indicate electric two-wheeler market volumes could expand from 1.8 million units to 7 million units by FY2030.

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Fluid transmission solutions provider Imperial Auto has opened its new Global Technology Centre in Backnang, Germany, expanding its engineering footprint within the European automotive sector.

Situated in the Stuttgart metropolitan area, the facility will function as a hub for technology development, engineering and customer collaboration. The centre is designed to support OEMs and Tier-1 suppliers across passenger cars, commercial vehicles, agricultural machinery, off-highway equipment and mobility applications by integrating European client requirements with Imperial Auto's global manufacturing infrastructure.

Vikram Wagh, Managing Director and CEO, Imperial Auto, said, “Europe is an important market for Imperial Auto, and establishing a dedicated technology centre in Germany is a significant step in our global growth journey. The centre will strengthen our ability to work closely with customers, understand their evolving technology and product requirements, and translate these insights into innovative solutions. Being closer to our customers will enable faster technical responses, more effective collaboration and stronger product development. The Backnang centre will also facilitate the exchange of engineering knowledge, technologies and best practices across our global network, helping us accelerate innovation and deliver reliable, future-ready solutions to customers across markets.”

The Backnang facility will house teams dedicated to product development and technical support, aiming to accelerate decision-making cycles and facilitate joint engineering initiatives between regional clients and the company's central development units.

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