Record breaking boom in Indian auto market— The Indian automobile industry has broken all previous sales records in the first quarter (April-June) of the current financial year 2026-27. According to the latest official data released by the Society of Indian Automobile Manufacturers (SIAM), despite the West Asia crisis and geopolitical tensions, wholesale sales of passenger vehicles and two-wheelers have witnessed a historic rise on the back of strong domestic demand, better financing and new launches.

Record breaking boom in the Indian auto market: Passenger car sales increased by 25.9% in the first quarter, two-wheelers crossed 56 lakh.

Tremendous increase in wholesale sales of cars and bikes

According to the report, 12,73,811 passenger vehicles were dispatched to dealers in the domestic market between April and June this year, which is 25.9 percent more than the same period (10,11,884 units) of the last financial year 2025-26. There has also been a big recovery in the two-wheeler segment. In the first quarter, wholesale sales of motorcycles and scooters increased by 20.3 percent to 56,28,675 units, which was 46,77,990 units during the same period last year.

Along with this, sales of three-wheelers have also performed best till date. This segment recorded a growth of 29.7 percent and total sales stood at 2,14,339 units. The demand for commercial vehicles (CV) also remained strong, where a total of 2.65 lakh vehicles were sold with a jump of 18.3 percent.

Strong performance amid challenges: Statement of SIAM President

Impact on common man and expectations of festive season

New models are continuously being launched in the market by vehicle manufacturing companies. There is new excitement in the market with vehicles like the premium compact SUV Tekton recently introduced by Nissan Motor India. However, the rising cost of raw materials (commodity) still remains a matter of concern for the auto sector. Companies believe that as the country enters the festive season in the second quarter from July to September, the demand for vehicles will remain stable and strong. Due to better monsoon, demand for two-wheelers and small commercial vehicles from rural markets is also expected to improve further in the coming weeks.