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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Skoda Auto India has inaugurated a new sales facility in Raidurgam, Hyderabad, in partnership with Mody India Cars. The move strengthens the brand’s presence in Telangana, a key market for its growth strategy in India.

The new facility covers 3,200 sqft and is designed according to Skoda’s global ‘Modern Solid’ design philosophy, with space to display four vehicles. With this addition, Skoda now operates 15 customer touchpoints in the twin cities of Hyderabad and Secunderabad and a total of 19 touchpoints across Telangana, including Karimnagar, Nizamabad and Warangal.

With this, Skoda’s network has now expanded to over 330 touchpoints across 182 cities, up from 120 outlets in 2021. This growth follows a record-breaking Q1 2026, where the company sold 20,028 units, a 17 percent increase YoY, driven largely by the success of the Kylaq sub-compact SUV.

Ashish Gupta, Brand Director, Skoda Auto India, said, “With the inauguration of this new sales facility in Hyderabad, we continue to strengthen Skoda Auto India’s presence across Telangana. This city is a key market for us, and with over 15 Customer Touchpoints now operational, we are bringing our complete product range closer to customers while ensuring they experience the highest standards of service and care. Telangana remains a vital pillar of our growth in India, and with the Kylaq, new Kushaq, Kodiaq and Slavia, we are confident of growing the Skoda brand in this important market.”

Nihar Mody, Dealer Principal, Mody India Cars, said, “We are delighted to partner with Skoda Auto India and bring the brand’s premium experience closer to customers in Hyderabad. This new facility is designed to deliver a premium customer experience, from display to delivery. Our commitment is to provide the customers of this city with the very best of Skoda Auto’s product range and ownership journey.”

The expansion aligns with the company's ‘Skoda Super Care’ initiative, which provides a standard 4-year warranty and roadside assistance to enhance the long-term ownership experience.

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Tata Motors Passenger Vehicles (TMPV) has expanded its popular compact SUV offering the Nexon with the Pure+ PS variant at INR 959,000 (ex-showroom, Delhi). This introduction makes the Nexon the first vehicle in India to offer a panoramic sunroof at a price point below INR 1 million. The launch coincides with the milestone of one million Nexon units on Indian roads.

The Pure+ PS variant is available across multiple powertrain options, including a 1.2-litre turbocharged petrol engine, Twin Cylinder iCNG and a diesel engine, with both manual (MT) and automated manual (AMT) transmissions. The Nexon remains the only SUV in India to offer petrol, diesel, CNG and electric powertrains.

The tech-loaded Nexon Pure+ PS variant gets a voice-assisted panoramic sunroof, a 26.03-cm Harman infotainment system with wireless Android Auto and Apple CarPlay. It features a 6-speaker sound system and HD rear-view camera, auto LED headlamps & rain-sensing wipers, and cruise control and electric ORVMs with auto-fold functionality

Vivek Srivatsa, Chief Commercial Officer, Tata Passenger Electric Mobility, said, “As India’s #1 selling car in H2FY26 and India’s #1 SUV in FY26, the Nexon continues to remain as the preferred choice for customers across the country. With a 1 million+ strong family, Nexon has always stood for offering a superior all round package to its buyers at every price point. The introduction of the Pure+ PS variant with India’s first panoramic sunroof under INR 1 million further strengthens its proposition.”

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Hyundai Motor India, one of the leading passenger vehicle manufacturers, has announced its highest-ever CAPEX of INR 75 billion — its highest ever —to fund a product offensive and manufacturing upgrades in FY2027.

The company also plans to introduce two brand new SUVs, including a localised electric SUV in the compact segment and an ICE SUV in the mass market segment. Interestingly, the South Korean automotive major has forecasted a 8-10 percent growth in sales across domestic and export markets for FY2027.

In FY2026, Hyundai Motor India saw its profit after tax decline by 4 percent to INR 54,315 million, as against INR 56,402 million a year ago. The revenue came at INR 707,633 million, up 2 percent, as against INR 691,929 million, EBITDA at INR 85,985 million, as against INR 89,538 million a year ago.

Despite a dip in profit after tax in FY2026 and commodity price pressures that impacted Q4 margins by 120 basis points, the leadership has issued a margin guidance of 11-14 percent for FY2027. Hyundai Motor India management noted that approximately half of the Q4 margin impact was a one-off occurrence. To counter unstable commodity costs, a calibrated price increase is scheduled for May 2026.

Tarun Garg, MD & CEO, Hyundai Motor India, said, “FY2026 was a year where we demonstrated our ability to effectively navigate a challenging environment. Looking ahead to FY2027, we have started the year on a strong footing. We expect this positive momentum to continue, backed by new product launches in high-demand segments.”

He further expressed confidence in a domestic volume growth target of 8-10 percent for the coming year. This outlook is supported by a strong start in April 2026, which saw domestic volumes grow by 17 percent.

The company expects that shifting the production of the Venue to the Pune plant will allow the Chennai facility to maximise capacity utilisation for these upcoming launches.

The CAPEX roadmap allocates nearly half of the funds to new product development, with 30 percent dedicated to plant infrastructure. This includes the Phase 2 expansion of the Pune facility and the modernisation of the Chennai plant. By FY2027, the Pune plant is expected to reach a capacity of 250,000 units, contributing to a group-wide goal of 1.14 million units by 2030.

The upcoming dedicated, localised electric vehicle in the compact SUV category, marking a significant step towards increasing its EV penetration, which stood at 2 percent in FY2026.

Furthermore, Hyundai Motor India is positioning itself as a primary global export hub for Hyundai Motor Company. The company’s target of 8-10 percent growth in export volumes, specifically leveraging its status as the exclusive global manufacturer for the Exter SUV. Future plans include the introduction of Left-Hand Drive (LHD) variants of the Exter and Verna for international markets.

The company also confirmed its commitment to meeting CAFE 3 standards through a diversified powertrain mix, including its CNG portfolio, which reached a record 18 percent contribution in the final quarter of FY2026.

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Hyundai Motor India (HMIL), one of the leading passenger vehicle manufacturers, has marked its 30th Foundation Day today.

Established on 6 May 1996, the South Korean automaker has sold 13.5 million units to date, which includes 9.6 million vehicles sold in India and 3.9 million units exported to 150 countries.

Since its inception, Hyundai Motor India has invested around INR 4,070 billion in its Indian operations. The company has outlined a plan to invest an additional INR 4,500 billion between FY2026 and FY2030. This investment will focus on manufacturing, electrification and the introduction of 26 products and variants by 2030.

Tarun Garg, MD & CEO, Hyundai Motor India, said, "Hyundai Motor India’s 30-year journey is defined by trust earned over time and the pride of our teams delivering consistently for customers across India. It is also marked by Progress - our collective contribution to advancing the mobility journey of India. We are proud to have served over 13.5 million customers since inception - including 9.6 million+ in India and 3.9 million+ exported to 150 countries across the globe - a testament to India’s role at the heart of Hyundai’s global success. As we celebrate this milestone, we look ahead with youthful energy and unwavering commitment, shaping mobility for India and the world. Guided by our global vision of Progress for Humanity, we remain deeply connected to India’s aspirations, driving innovation, sustainability and shared prosperity for generations to come."

The automaker operates manufacturing facilities in Chennai, Tamil Nadu and Talegaon, Pune, with a combined capacity to produce around 994,000 units per annum, with plans to reach 1.07 million units per annum by 2028. Hyundai Motor India is currently the largest cumulative exporter of passenger vehicles from India.

In India, the automaker has established a robust sales network of 1,500 outlets across 1,100 cities, covering 78 percent of the country’s districts. The service network includes 1,675 touchpoints and 162 mobile service vans. It employs 50,000 professionals across its dealerships. Digital systems are used for 91 percent of repair orders and 632 workshops offer live streaming of vehicle services.

Hyundai Motor India has achieved the RE100 benchmark, with all offices and plants powered by renewable energy. At the Chennai plant, 80 percent of water requirements are met through rainwater harvesting and recycling. The facility also maintains zero liquid discharge.

Through the Hyundai Motor India Foundation, the company has invested over INR 8.03 billion in social initiatives since 2014. These programmes include the planting of 1.29 million trees and the support of 2,300 schools. The company provides 15,000 to 18,000 direct jobs and supports approximately 350,000 to 450,000 indirect roles through its suppliers and partners.

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