Wholesale and retail volumes saw a strong year-over-year (YoY) growth in November 2025, aided by the recent GST rate cuts and winter wedding season. For FY2026, ICRA expects industry volumes to grow by 1-4% (3.6% YoY wholesale volume growth in 8M FY2026) led by a sustenance in demand momentum.

• In November 2025, passenger vehicle (PV) retail sales recorded a healthy 22% YoY growth, supported by sustenance of demand due to the Goods & Services Tax (GST) rate cuts and the winter wedding season.
  
• Inventory levels reduced to 44-46 days by November 2025 from 60 days at the end of September 2025, as per the Federation of Automobile Dealers Association (FADA), aided by stronger retail offtake.
  

Source: SIAM data, FADA, ICRA Research, industry sources; Note: Although SIAM’s monthly statement does not include Tata Motors Limited (TML) from April 2020, TML’s volumes have been factored in the above trend