Automobile Sales This Festive Season Exceed That Of The Last Festive Season

Automobile Sales This Festive Season Exceed That Of The Last Festive Season

The 42 days festive period vehicle retail data for 2024 that the Federation Of Automobile Dealers Associations (FADA) has released, the overall sales of automobiles during this festive season have exceeded that of the last festive season. 
"I am delighted to announce that the automobile retail sector has achieved a new milestone, surpassing last year's festive records. We witnessed a remarkable surge in numbers since the beginning of Navratri, nearly hitting our forecasted target with 42.88 lakh vehicles registered during this period — a growth of 11.76 percent over last year's 38.37 lakh units,” mentioned C S Vigneshwar, President, FADA. 
Two-wheeler sales were particularly robust, according to him, registering a 13.79 percent growth to reach 3.31 million units, largely driven by strong rural demand. 
Passenger vehicle sales bounced back after a decline of roughly two-to-three months with a growth of 7.10 percent to 0.6 million units, spurred by pent-up demand and unprecedented discounts available in the market. 
Acknowledging that the target of 45,00,000-unit sales could have been fully met or even exceeded were it not for the unseasonal heavy rains in South India (especially in Bengaluru and Tamil Nadu) and the Cyclone Dana that affected Odisha, Vigneshwar averred, “FADA anticipates – as the festivities conclude – that passenger vehicle stock levels will reduce further from was reported in the October retail data press release.”
“FADA advises caution as the complete picture on inventory will emerge by month-end,” he added. 
Stating that FADA urges OEMs to focus on liquidating 2024 stock so that Dealers can enter 2025 with ideal FADA-recommended 21 days of inventory, Vigneshwar said, “Its 1.5 months remaining before the calendar year ends.”
 

Category

Festive Season 2024

Festive Season 2023

Growth Percentage

Two-wheelers

33,11,325 units

29,10,141 units

13.79

Three-wheelers

1,59,960 units

1,49,764 units

6.81

Commercial Vehicles

1,28,738 units

1,27,436 units

1.02

Passenger Vehicles

6,03,009 units

5,63,059 units

7.10

Tractors

85,216 units

86,640 units

- 1.64

Total

42,88,248 units

38,37,040 units

11.76

Skoda Auto Volkswagen India Crosses 50,000-Unit Production Milestone For Kylaq SUV

Skoda Kylaq

Skoda Auto Volkswagen India (SAVWIPL) has achieved a new production milestone of rolling out 50,000 units of the Skoda Kylaq from its Chakan facility.

The Kylaq, the company stated, has contributed 36 percent to the Group’s YoY growth in 2025. It achieved this volume by expanding its operations and increasing the use of domestic components.

To support the production of the Kylaq, SAVWIPL increased the capacity of the Chakan plant by 30 percent. The vehicle is built on the MQB-A0-IN platform, a chassis architecture designed for the Indian market. The group has focused on localisation and the development of a local supplier network to support its manufacturing output.

The milestone follows 25 years of the group's presence in India, during which it has developed an integrated ecosystem and a local talent pool. By increasing production and localisation, the company aims to support the government’s manufacturing initiatives while deepening its engineering and sourcing capabilities within the country.

H D Kumaraswamy, Union Cabinet Minister of Heavy Industries and Minister of Steel, said, “I congratulate Skoda Auto Volkswagen India on achieving this production milestone and for their continued commitment to the ‘Made in India’ initiative.”

Piyush Arora, MD & CEO, Skoda Auto Volkswagen India, said, “The 50,000‑unit milestone for the Kylaq reflects the deep trust and affection our customers have shown for this product. Built on the proven MQB‑A0‑IN platform, the Kylaq’s success is a powerful validation that vehicles designed in India, both for India and the world, continue to earn admiration and confidence from customers domestically and globally.”

Hindalco Commissions INR 45 Billion Investment To Manufacture FRP & Battery Grade Aluminium Foil In Odisha Facility

Hindalco Industries

Hindalco Industries has announced an INR 210 billion expansion of its aluminium smelter in Sambalpur, Odisha. The project will add 360,000 tonnes per annum of capacity to the Aditya Aluminium complex. Additionally, the company has commissioned a manufacturing facility for flat rolled products (FRP) and battery-grade aluminium foil following an investment of INR 45 billion.

The facilities form part of a growth programme involving INR 370 billion of planned expenditure in Odisha. The battery-grade foil plant is intended to provide raw materials for the production of lithium-ion cells, with a capacity to support 100 GWh of manufacturing. The expansion of the FRP unit aims to reduce India’s reliance on imported flat-rolled aluminium, which currently accounts for 40 percent of domestic consumption.

The smelter expansion incorporates plans to use round-the-clock renewable energy for a portion of its power requirements. This project connects upstream resources with downstream manufacturing, linking bauxite mining and alumina refining to the production of foil and high-grade materials. The company expects the next phase of investment to create 15,000 jobs in the region, adding to its current workforce of 23,000 in the state.

Kumar Mangalam Birla, Chairman, Aditya Birla Group, said, “India’s manufacturing growth depends on integration, value addition and sustainability. Through Hindalco, we are building a fully integrated aluminium ecosystem that spans from upstream resources to high-value downstream products. Our long-standing partnership with Odisha continues to play an important role in this journey. This strategy strengthens India’s self-reliance, supports critical sectors, and accelerates the nation’s transition towards advanced, sustainable manufacturing.”

Satish Pai, Managing Director, Hindalco Industries, added, “The FRP expansion and smelter growth at Sambalpur exemplify our integrated upstream–downstream growth strategy. This enables Hindalco to deliver high-quality aluminium solutions across packaging, defence, electric mobility, renewable energy and advanced manufacturing, positioning us strongly to support India’s industrial ambitions while creating long-term value.”

Hindalco’s roadmap in Odisha includes the Kansariguda alumina refinery, the Meenakshi coal mine, and units for white fused alumina. The company has invested over INR 250 billion in the state over the last 15 years. These developments are part of a wider INR 550 billion capital expenditure plan across India.

Chery To Acquire Nissan’s South Africa Manufacturing Assets

Re:Nissan

Japanese automaker Nissan and China’s Chery have reached an agreement for the acquisition of Nissan’s manufacturing facilities in Rosslyn, South Africa, which is subject to regulatory approvals and the fulfilment of specific conditions.

As per the understanding, Chery will purchase the land, buildings and associated assets, including the stamping plant, in mid-2026. Chery will offer employment to the majority of Nissan’s current staff at the site on terms and conditions similar to their existing contracts. The move follows a period of impact on the utilisation and viability of the plant within Nissan's global operations.

Despite the sale of the production facility, Nissan will maintain its commercial presence in South Africa. The company plans to continue its sales and service operations and has scheduled several vehicle launches for the 2026 fiscal year, including the Nissan Tekton and Nissan Patrol.

The acquisition allows the Rosslyn site to remain an active part of the South African automotive manufacturing sector. The preservation of the facility also aims to maintain opportunities for the existing local supplier network that services the plant.

Jordi Vila, Nissan Africa President, said, “Nissan has a long and proud history in South Africa and has been working to find the best solution for our people, our customers and our partners. External factors have had a well-known impact on the utilisation of the Rosslyn plant and its future viability within Nissan. Through this agreement we’re able to secure employment for the majority of our workforce thereby also preserving opportunities for our supplier network. This move also ensures that the Rosslyn site will continue contributing to the South African automotive sector.”

Neolite ZKW Lightings

Neolite ZKW Lightings held a commemorative ceremony on 23 January 2026 for its new manufacturing plant in Pune, Maharashtra. The facility, which began operations in December 2025, is situated near the Mumbai-Pune-Nashik-Aurangabad automotive cluster. This location allows the company to manage inventory and provide services to customers including Tata Motors, Stellantis, JSW MG Motor India, Daimler India Commercial Vehicles and Piaggio Vehicles.

The facility includes an independent design centre featuring simulation software, optical design tools and 3D modelling capabilities. This centre supports product development, prototyping and validation to meet global regulatory standards. The Pune plant focuses on manufacturing processes such as moulding, surface treatment and assembly for lighting products and components.

Neolite ZKW Lightings produces lighting solutions for passenger vehicles, commercial vehicles and two-wheelers. Its portfolio is powertrain agnostic, supplying components for both internal combustion engine vehicles and electric vehicles. Following the commencement of the Pune facility, the group intends to focus on opening its next plant in Kancheepuram.

Won Yong Hwang, CEO, ZKW Group, said, “India continues to emerge as a strategic market for the global automotive industry. Neolite ZKW’s expansion in Pune represents a positive step toward advancing next-generation automotive lighting solutions, and we look forward to continued collaboration in technology and innovation”.

Rajesh Jain, Chairman and Managing Director, Neolite ZKW Lightings, said, “Our new Pune plant reflects our commitment to invest in capacity, technology and talent to support the next phase of growth for our customers and for Neolite ZKW. With this facility, we are better positioned to respond timely to customer requirements, drive innovation in automotive lighting, and create employment opportunities in the region. After this, our next focus will be to get our Kancheepuram facility up and running and we are working very hard to get that done”.

Rajesh Soni, CEO, Neolite ZKW, added, “The Pune facility is designed to focus on manufacturing of automotive lighting products and components including moulding, surface treatment and assembly. Further, in line with the shift toward electrification and sustainability, we also offer certain electric vehicle focused lighting products. At the same time, our portfolio is powertrain agnostic that serves both EVs and internal combustion engine vehicles”.