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Auto Sales Jump 26% as Alternative Fuels Near Petrol Share

Auto Sales Jump 26% as Alternative Fuels Near Petrol Share
Vehicle retail sales up 26% at 25,91,138 units in July · thehansindia.com

In July, people in India bought a lot more cars, bikes, trucks and buses than they did a year before.

Vehicle sales went up by about 26 percent compared with last July.

It was the best July ever for almost every kind of vehicle sold in the country.

More buyers are choosing vehicles that do not run only on petrol.

Cars that run on natural gas, hybrids, or electricity now hold about 40.59 percent of the market, very close to petrol's 41.68 percent share.

Electric scooters and bikes are becoming popular, with their share reaching a record 11.24 percent.

In all, 3,27,901 electric vehicles were sold in July, more than in any other month ever.

The sales boom is helped by changes that made vehicles more affordable, easier loans, and good timing with festivals.

People who sell vehicles are feeling very happy about the next few months.

Nearly 88 percent of dealers expect sales to grow in August, September and October.

Key facts

Total auto retail sales (July)
25,91,138 units, up 25.89% year-on-year
July 2025 sales
20,58,325 units
Passenger vehicle sales
4,16,555 units, up 19.13%
Two-wheeler sales
18,18,289 units, up 28.25%
Three-wheeler sales
1,33,778 units, up 16.16%
Commercial vehicle sales
99,666 units, up 24.04%
Passenger vehicle fuel share
Petrol 41.68%; alternative fuels 40.59% (CNG 24.67%, hybrid 8.02%, EV 7.9%)
EV retail sales
3,27,901 units, all-time monthly high; EV penetration about 12.7% (up from 9.6%)

Quotes

FADA Vice President Sai Giridhar

Vice President of the Federation of Automobile Dealers Associations

“"Total EV retails touched 3,27,901 units 'the highest for any month in history' with 2W and CV EV volumes at all‑time records, taking overall EV penetration to about 12.7 per cent from 9.6 per cent a year ago."”
thehansindia.com
“Dealers attribute this momentum to GST 2.0‑led affordability, ease of retail finance and favourable festival timing on a July 2025 base that had declined nearly 4 per cent.”
rediff.com

Sources

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