India’s auto market is getting into the year-end on a stronger footing than anticipated, with post-festive momentum refusing to fade. Backed by GST-driven affordability and regular retail demand, analysts say the sector is ready for a strong December.
Shailender Luthra of Brite Group mentioned VAHAN registrations present that purchasing hasn’t slowed after the festive season, and sellers proceed to report a wholesome order guide. In accordance with him, sentiment is upbeat and demand just isn’t exhibiting indicators of cooling.
FADA CEO Saharsh Damani additionally mentioned the power in demand isn’t only a festive spillover. November benefited from marriage-related purchases, and December is more likely to be boosted by year-end affords from automakers. He added that the continuation of schemes in early 2026 can be essential for sustaining momentum.
For October–December, Damani expects passenger car gross sales to develop above the 4–4.5% tempo seen thus far this 12 months, helped by GST 2.0. Two-wheeler demand is more likely to rise in excessive single digits. For the complete 12 months, passenger car progress is estimated at 5–6%, and two-wheeler progress at 9–10%.
On emission norms, Luthra mentioned each producers and consumers are ready for tighter requirements. Whereas increased re-registration prices for older automobiles might deter some, he believes it received’t considerably have an effect on shopping for behaviour, as many purchasers now desire changing ageing automobiles. He additionally pushed for stronger incentives for scrappage and recycling.
Damani mentioned EV penetration stays modest at 8–9% for two-wheelers and about 5% for passenger automobiles, however expects this to climb over the subsequent 6–9 months to about 15% and eight–9%, respectively, as extra established gamers enter the area.
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