India's automakers post stronger September sales ahead of festivals
What's the story
Indian automakers have reported a significant increase in sales for September, as dealers stock up ahead of the festive season. This time of year is traditionally the strongest for vehicle purchases in India. The surge comes despite multiple price hikes by major manufacturers this year to counter rising raw material costs and volatile fuel prices that could impact consumer demand for new vehicles.
Sales performance
Hyundai and Mahindra's performance
Hyundai Motor India recorded its highest-ever monthly sales, up 10.8% from a year earlier. The company anticipates "sustained customer enthusiasm" during the festive season.
Meanwhile, Mahindra and Mahindra also witnessed a 14% rise in domestic sales, largely due to strong demand for its sports utility vehicles (SUVs). However, this was partly offset by falling tractor sales.
Market leaders
Tata Motors and Maruti Suzuki's sales figures
Tata Motors Passenger Vehicles recorded a whopping 40% jump in domestic and international sales in Q2 FY27, compared to last year.
The company also crossed the 70,000-unit mark in September, its highest-ever quarter heading into the festive season.
Meanwhile, Maruti Suzuki India sold a total of 236,013 units in September 2026: 185,252 units in the domestic market, 6,542 units to other OEMs, and 44,219 units through exports.
Market hurdles
Escorts Kubota's tractor sales decline
Escorts Kubota reported a decline in tractor sales. The company blamed the drop on a high base effect from September 2025 when sales were boosted by a GST rate cut.
It also cited patchy monsoon conditions and lower kharif sowing as factors affecting demand.
Despite these challenges, the overall increase in September sales indicates strong consumer interest in new vehicles during this festive season.