7 hrs ago
India's Auto Battle Intensifies Ahead of Festive Season
Car and motorcycle companies in India are competing to attract more buyers before the festive season.
They are launching new models and adding features such as automatic gearboxes, CNG systems and electric power.
Maruti Suzuki and Kia are offering more CNG choices for people who want practical and efficient vehicles.
TVS Motor has upgraded several motorcycles, while Royal Enfield plans to sell its electric motorcycle in Europe and the UK.
Tata Motors has expanded its Sierra range, and Hyundai is preparing the Bayon.
Companies are also entering the electric bus and truck market.
More people bought or registered vehicles in August, especially in rural areas.
However, companies are worried about higher costs, discounts and the number of unsold vehicles at dealerships.
India’s automakers are launching new vehicles, powertrains and ownership plans ahead of the festive season.
Passenger-vehicle wholesales rose 36.5% in August to a record 4,39,309 units, according to SIAM.
Rural vehicle registrations grew 24.99%, faster than the 10.93% increase in urban markets.
Maruti Suzuki and Kia are expanding factory-fitted CNG offerings, while TVS Motor and Royal Enfield update electric and premium motorcycles.
Commercial-vehicle demand is growing, but automakers face higher costs, discounting pressure and inventories estimated at 38–40 days.
- Who
- India’s automakers, two-wheeler manufacturers, dealers and vehicle buyers, including Maruti Suzuki, Kia, Tata Motors, Hyundai, TVS Motor, Royal Enfield and JSW GreenTech.
- What
- Manufacturers are intensifying launches, feature upgrades, CNG offerings and electric-vehicle initiatives across cars, motorcycles, buses and trucks.
- Where
- India, with Royal Enfield’s Flying Flea C6 also scheduled for delivery in Europe and the UK.
- When
- Ahead of the festive season, with August sales data reported and several launches planned for September and October 2026.
- Why
- Automakers are seeking stronger festive-season volumes as vehicle demand rises, while trying to compete for customers and protect margins amid higher costs and discounting.
Expansion and Demand
Caution and Margin Pressure
Festive-season outlook
Expansion and Demand
Manufacturers are expanding product choices and entering new segments because demand is accelerating and festive volumes are expected to strengthen.
Caution and Margin Pressure
Companies remain cautious because they face a higher sales base, elevated commodity and freight costs, heavier discounting and substantial dealer inventory.
Market opportunity
Expansion and Demand
Rural registrations, CNG bookings, hybrids, EVs and commercial-vehicle demand are creating opportunities across multiple vehicle segments.
Caution and Margin Pressure
Competition is increasingly focused on the same customers, requiring more variants, features and ownership options while companies try to protect profitability.
Key facts
- Passenger-vehicle wholesales
- Rose 36.5% in August to a record 4,39,309 units.
- Passenger-vehicle retail registrations
- Increased 16.14% to 4,02,398 units.
- Rural registrations
- Rose 24.99%, compared with 10.93% growth in urban markets.
- Dealer inventory
- Passenger-vehicle inventory was estimated at 38–40 days.
- Maruti S-CNG sales
- Reached about 83,000 units in the company’s highest-ever monthly total.
- Honda investment
- Honda Cars India is investing ₹450 crore to expand its Bengaluru spare-parts warehouse to 140,000 square metres.
- JSW GreenTech capacity plan
- The proposed Chhatrapati Sambhajinagar facility is planned to produce 10,000 electric buses and 5,000 electric trucks annually.
Quotes
Takashi Nakajima
CEO of Honda Cars India
“During the first quarter of this year, we experienced a 58 per cent increase in sales compared with the same quarter last year for our S-CNG vehicles.”
thehindubusinessline.com
“The expanded facility will enable faster availability of genuine spare parts and further strengthen our after-sales support.”
thehindubusinessline.com
B. Govindarajan
Managing Director of Eicher Motors and CEO of Royal Enfield
“The response has been outstanding.”
thehindubusinessline.com
Sources
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