Indian retail auto sales jump 25.6% in February, total vehicle retails touch 24 lakh units
- IBEF
- March 6, 2026
India’s retail automobile sales recorded strong growth in February, rising 25.6% year-on-year, with total vehicle retail sales reaching 24 lakh units, according to data released by the Federation of Automobile Dealers Associations (FADA). The growth reflects improved demand across vehicle segments and positive momentum in the automotive market. Higher demand for passenger vehicles, two-wheelers, commercial vehicles, and tractors supported the increase in retail sales, indicating strengthening activity across the automobile sector. Improved consumer sentiment, better availability of financing options, and stable economic conditions also contributed to the rise in vehicle purchases. Rural markets continued to play an important role in supporting demand for automobiles across several segments.
Passenger vehicle sales recorded healthy growth, supported by sustained consumer demand and improved supply conditions. The two-wheeler segment also witnessed significant improvement, aided by stronger rural demand and increasing mobility requirements. Retail sales of commercial vehicles and tractors also expanded, reflecting improving activity in sectors such as infrastructure, construction, and agriculture. Industry stakeholders noted that factors such as festival-related demand, favourable financing conditions, and improved vehicle availability supported retail sales growth. The continued expansion in automobile retail sales highlights the resilience of the Indian automotive sector and indicates stable demand across vehicle categories. Going forward, the sector is expected to remain supported by infrastructure development, economic growth, and steady demand from both rural and urban markets.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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