Passenger Vehicle Dispatches In India Rise 25.4% In April, Says SIAM

The first month of the new fiscal began on a strong note by carrying forward the demand momentum after the GST rate cut last year.

Siam noted that despite concerns of high commodity prices emanating from the West Asia war, the auto industry has been witnessing good demand.

Two-wheeler sales also recorded strong growth during the month, rising 28.4 per cent to 18,72,691 units compared to April last year.

Three-wheeler dispatches to dealers increased 32.8 per cent year-on-year to 65,668 units in April.

The total production of passenger vehicles, three-wheelers, two-wheelers and quadricycles stood at 29,22,427 units during the month, Siam noted.

“Continuing with the momentum of the second half of FY 2025-26, the first month of FY 2026-27 posted high double-digit growth in passenger vehicles, three-wheelers and two-wheelers. In April 2026, passenger vehicles recorded their highest-ever sales of 4.37 lakh units with a growth of 25.4 per cent over April 2025,” said Rajesh Menon, director general at Siam.

He added that three-wheelers also posted their highest-ever sales of 0.66 lakh units, registering growth of 32.8 per cent compared to the same month last year.

“Around 18.73 lakh units of two-wheelers were sold in April 2026, resulting in growth of 28.4 per cent compared to April of the previous year. Though there are concerns over high commodity prices arising from disruptions in West Asia, the industry has been witnessing good demand,” Menon said.

In March 2026, domestic passenger vehicle dispatches had increased 16 per cent year-on-year to 4,42,460 units, supported by improved consumer demand and inventory build-up at dealerships.

The broader outlook for the passenger vehicle segment remains positive, although industry growth is expected to moderate in the coming months.

Earlier, the Federation of Automobile Dealers Associations (FADA) data showed that the domestic auto retail industry began FY27 on a strong note, with total retail sales rising 12.94 per cent year-on-year to a record 26,11,317 units in April.

According to FADA, two-wheeler retail sales reached 19,16,258 units during the month, making it the best-ever April performance for the segment. Demand remained broad-based, with urban markets growing 14.07 per cent and rural markets expanding 12.30 per cent year-on-year.