SIAM Reports 83.88 Lakh Vehicle Sales in Q2 FY27

According to data released by the Society of Indian Automobile Manufacturers (SIAM), India’s domestic automobile sales across four major vehicle categories expanded by 18.2% year-on-year to reach a record 83.88 lakh units in the July–September quarter (Q2) of FY27. Every primary segment registered its highest-ever second-quarter sales volume: passenger vehicle sales surged 30.7% to 13.61 lakh units, two-wheelers grew 15.2% to 64.33 lakh units, three-wheelers climbed 23.6% to 2.85 lakh units, and commercial vehicles rose 28.7% to 3.09 lakh units. The industry attributed this record performance to enhanced consumer affordability post-GST 2.0 implementation, resilient urban and rural demand, robust freight activity, infrastructure-driven economic momentum, and steady fleet replacement. Within passenger vehicles, utility vehicles maintained their dominant market share at 68% with a 34.2% sales increase, while passenger cars grew 24.9%, and two-wheeler sub-segments saw scooters and motorcycles expand by 27.7% and 7.4%, respectively. Automotive exports similarly demonstrated strong momentum across most segments during Q2 FY27, with two-wheeler exports rising 27.7% to a second-quarter record of 16.5 lakh units, three-wheeler exports jumping 30.4% to 1.6 lakh units, and commercial vehicle exports surging 72.5% past 41,000 units. Conversely, passenger vehicle exports contracted 5.2% to 2.29 lakh units, impacted by a high base effect and logistical bottlenecks stemming from the West Asia crisis. While SIAM leadership expressed cautious optimism regarding festive season tailwinds, the industry projects H2 FY27 demand to be anchored by new model launches, ongoing infrastructure spending, and expanding last-mile mobility requirements, balanced against potential headwinds from inflation, interest rate adjustments, and global geopolitical volatility.