The automotive retail sales in India is back in the green, and for October 2024, the convergence of Navratri and Diwali has helped register robust growth across segments.

According to the latest data released by the Federation of Automobile Dealers Association (FADA), a total of 2.8 million vehicles were registered last month, up 32.14 percent YoY, compared to 2.14 million vehicles sold last year.

This included 2 million two-wheelers (+36.34 percent YoY); 122,846 three-wheelers (+11.45 percent YoY); 483,159 passenger vehicles (+32.38 percent YoY); 64,433 tractors (+3.08 percent YoY) and 97,411 commercial vehicles (+6.37 percent YoY).

C S Vigneshwar, President, FADA stated that festivities traditionally account for 30–35 percent of total annual auto sales. The industry was keenly observing how October would unfold.

He said, “With dealers entering this crucial period fully committed and carrying all-time high inventory levels, the month did not disappoint!”

FADA shared that the rural market once again played a leading role in driving growth, particularly in the two-wheeler and passenger vehicle segments. Additionally, the Government of India's announcement of an increase in the Minimum Support Price (MSP) for Rabi crops further boosted market sentiments.

The two-wheeler sales were driven by festive schemes, discounts along with new model launches that drove consumer interest. The dealers were able to support the demand on the back of better stock availability and suppliers from OEMs.

In the passenger vehicle segment too, aggressive offers, attractive schemes and new model introductions further stimulated demand.

“Enhanced vehicle availability and strong market interest, especially for SUVs and new products, also contributed to the exceptional sales. However, despite strong sales, PV OEMs continue to heavily stock dealers, resulting in inventory levels decreasing by only five days, with overall inventory still at a high of 75–80 days. This may thus lead the season of substantial discounts to continue until the end of the calendar year,” cautioned Vigneshwar.

The commercial vehicle segment growth was driven by various factors such as supportive agricultural markets and bulk purchases, particularly for container movements.

FADA states that however dealers faced challenges such as slow demand, sluggish construction activities, financial issues among customers and increased vehicle prices leading to higher EMIs.

“Overall, while there were areas of growth, the CV market faced headwinds that tempered its overall performance,” he shared.

Great Indian wedding

While the automotive industry has been seeing a mixed results in terms of retail demand, the expectation for the rest of the calendar year remains positive. An estimated 4.8 million weddings are scheduled across the country in November and December 2024. This is expected to bring an ‘unprecedented surge’ in demand for wedding-related goods and services.

For the automotive industry this could further amplify demand for two-wheelers and passenger vehicles. In the CV segment, while supportive agricultural markets and continued bulk purchases may contribute positively, dealers remain vigilant due to factors like sluggish construction activities, financial constraints among customers and an anticipated decrease in demand post-festivities.

But on the other hand, for the passenger vehicle segment, there are apprehensions about potential slowdowns caused by customers postponing purchases in anticipation of better year-end discounts. FADA also urges, PV OEMs to further rationalise supply.

The auto retail body states that while the industry is optimistic about near-term growth driven by the wedding season and favourable market conditions, dealers are mindful of potential challenges that could affect sales momentum as the year concludes.

‘The mixed sentiments reflected in the survey highlight the need for strategic planning and cautious optimism as the auto sector navigates the remaining months of the year,’ the note concluded.

Representational image courtesy: TomFlick/Pexels

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Nissan Motor India has unveiled its latest product offering for the Indian and the global market the Tekton, C-segment SUV, which will compete with the likes of Hyundai Creta, Kia Seltos, Tata Sierra, Maruti Suzuki Grand Vitara and the Toyota Urban Cruiser Hyryder.

The Tekton is based on the recently introduced Renault Duster SUV and has also incorporated design cues from its popular Patrol SUV. Manufactured at Renault’s Chennai plant, it is designed for both domestic sales and export to markets including the Middle East and Africa.

The SUV features a turbocharged engine lineup, consisting of the Turbo T160 and Turbo T280 options. The T280 provides 163PS of power and 280Nm of torque, available with a 6-speed wet clutch DCT or a 6-speed manual transmission. The SUV offers a ground clearance of 212 mm and 700 litres of boot space.

On the inside, the Tekton features a dual-screen setup comprising a 25.65 cm infotainment system with Google built-in and a 26.03 cm digital cockpit. Connectivity features include navigation via Google Maps, voice assistance through Google Assistant and access to applications via Google Play.

In terms of safety the Tekton comes with 6 airbags as standard, a high-strength steel frame and a suite of 17 driver-assistance features such as adaptive cruise control, autonomous emergency braking and lane-keep assist.

Guillaume Cartier, Chief Performance Officer, Nissan, said, "We are building a stronger and more competitive Nissan in India. As we continue to strengthen our SUV-led portfolio and sharpen our market focus, the World Premiere of the all-new Nissan Tekton reflects our ambition to combine global product strength with deep local relevance. Tekton is a clear expression of how Nissan is transforming with purpose - towards a more competitive, future-ready portfolio."

Massimiliano Messina, Chairperson, AMIEO Region, Nissan, said, "India is powering Nissan's growth across markets and regions. Tekton is a strong example of our 'One Car, One World' approach - a global product engineered through India, manufactured for Indian customers and developed for export markets across the region. It strengthens India's role as a growth engine and SUV production hub for Nissan."

Thierry Sabbagh, DVP - President, Middle East, KSA, India, CIS - Nissan and INFINITI, said, "Tekton is a strong signal of our capability, bringing global SUV excellence to India. Following the launch of the all-new Gravite, the World Premiere of the all-new Nissan Tekton accelerates our resurgence journey and strengthens our SUV portfolio in India. Tekton combines bold design, premium features, advanced technology and strong SUV character in a way that aligns with evolving customer expectations."

Saurabh Vatsa, Managing Director, Nissan Motor India, said, "Nissan's resurgence in India is taking formidable shape, driven by a sharper product focus, network expansion and a deeper understanding of what Indian customers truly value. Tekton is the flagship proof point of Nissan's India resurgence. It has been crafted to deliver commanding presence, unmistakable luxury, intelligent technology, confident performance and everyday practicality in a package that is made in India and ready for the world."

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Ford Motor Company has opened an 800-seat Global Capability Centre in Coimbatore. It is part of the automaker’s strategy to expands its India operations. The company sold its Sanand plant to Tata Motors but has retained its Chennai plant, which is indicative of the fact that it is still interested in the Indian market.
The Global Capability Centre commissioned at Coimbatore is third centre by the company of its kind. It follows centres in Chennai and Bengaluru. The 82,000 sq ft facility at Coimbatore will mainly support accounting, Ford Credit and other business operations, while also serving as a business continuity hub for the company's Chennai GCC.
“We earlier operated a centre in Coimbatore, which we closed during the COVID pandemic. We have had positive experience with the local talent pool here especially in terms of quality and the range of talent across commercial, operational and engineering operations,” said Gangapriya Chakraverti, India Site Head and Managing Director, Ford Business Solutions. “Ford's biggest talent demand in India continues to be in software engineering, data science and data analytics, alongside the company's growing investments in AI,” she added.

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Skoda Auto Volkswagen India, one of the leading passenger vehicle manufacturers, has announced a leadership change within its sales, marketing and digital division. Jan Bures, who currently serves as Executive Director of Sales, Marketing, and Digital, will conclude his assignment in India and move to a new role at Volkswagen, effective September 2026.

Following the departure of Bures, Piyush Arora, Managing Director & CEO of Skoda Auto Volkswagen India, will take on the additional responsibility of Executive Director of Sales & Marketing for the group in India.

The company stated that this structure is intended to improve strategic alignment, decision-making and accountability across the organisation.

At present, Skoda Auto Volkswagen India operates six brands: Volkswagen, Skoda, Audi, Bentley, Lamborghini and Porsche.

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German luxury carmaker Mercedes-Benz India has recorded its highest-ever sales for the H1 of 2026, retailing 9,768 units between January and June, a 9 percent YoY increase over the 9,013 units sold in the same period last year.

The company also achieved its best-ever second quarter Q2 CY2026, with 4,637 units sold, representing a 10 percent growth compared to Q2 2025.

Sales were driven by the performance of the core and top-end portfolios. The top-end luxury segment, which includes models such as the S-Class, Maybach, AMG and V-Class, grew by over 20 percent and accounted for 28 percent of total sales. Notably, Mercedes-AMG sales increased by 50 percent during the period.

Interestingly, electric vehicles now comprise 14 percent of total sales, supported by the launch of the CLA BEV and demand for the EQS SUV. The entry-level luxury segment also saw a 29 percent growth in Q2, aided by the introduction of the CLA BEV and the GLA SUV. The E-Class long-wheelbase sedan remained the highest-selling luxury car in the country.

Santosh Iyer, Managing Director and CEO, Mercedes-Benz India, said, “Mercedes-Benz’s strong growth in first half of 2026 underlines the success of our strategy rooted in offering desirable products, elevated customer experience and transforming our network with clear focus on getting closer to customers. The new V-Class and CLA BEV drove our best-ever H1 and Q2 sales, underpinning superior product substance, reconfirming Mercedes customers’ preference for value over entry price points.”

He added: “The success of the new CLA BEV is an affirmation that Mercedes-Benz customers prefer owning the latest technology, with the car being sold out within few days of market introduction, customers willing to wait till 5-6 months, to proudly own the car which is truly distinctive and a ‘Class of its Own’. The CLA BEV has propelled Mercedes-Benz’s BEV penetration to reach 14 percent in Q2 2026.”

Regarding the top-end segment, he stated: “H1 2026 has shown increased preference for our top-end vehicles, with the share of TEVs now reaching an all-time high of 28 percent, fuelled by the introduction and growing demand for the new V-Class and the 50 percent growth trajectory achieved by the AMG portfolio.”

The company plans to expand its retail network, aiming to open 20 outlets across India in 2026, including a debut in Varanasi during the third quarter. This expansion is supported by an investment of INR 4.5 billion from franchise partners over the next two years.

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