Retail sales in the passenger vehicle segment edged up slightly amid buyer caution ahead of GST 2.0, effective 22nd September
FADA (Federation of Automobile Dealers Association) has revealed modest growth in overall retail sales (dealer to customer). Sales were up by 2.84% with positive progress across the passenger vehicle, two wheeler and commercial vehicle segments. The festive season brought some cheer in the early part of the month while the announcement of GST 2.0 reforms resulted in many customers deferring their purchases, anticipating a price reduction.
Assessing sales across the passenger vehicle segment, YoY sales saw a marginal improvement of 0.93% while MoM sales fell by 1.63%. The segment has also seen a 2.64% growth on a YTD basis with 16,40,760 units sold during the YTD FY 2026 period as against 15,98,524 units sold in the same period last year. With total retail sales of 3,32,256 units last month, the PV segment has seen a 0.93% YoY growth from 3,20,291 units sold in July 2024. MoM sales however, suffered a setback by 1.63% from 3,28,613 units in July 2025.
Car Sales August 2025
Maruti Suzuki once again lead the segment with 1,27,905 units sold, a marginal improvement from 1,27,119 units sold in August 2024. Currently commanding a 39.57% market share, Maruti is set to see improved sales with the new Victoris, its first ADAS car as well as the brands 5 Star Bharat NCAP rated compact SUV being officially unveiled in the country.
At No. 2 was Mahindra. Sales saw stood at 43,632 units last month which was a healthy growth from 40,569 unit sales of August 2024. Market share also improved to 13.50% from 12.67% on a YoY basis. Hyundai Motor that had stood at a No. 2 spot in July 2025 was at No. 3 in August 2025 with 42,226 unit sales, a YoY decline from 43,438 units sold in the same month last year. Tata Motors also reported lower retail sales at 38,286 units, down from 39,864 units taking its market share down to 11.84%.
In August 2025, Toyota sales improved strongly on a YoY basis to 24,954 units, up from 23,582 units. Kia India sales slowed to 18,212 units while Skoda has reported outstanding performance with 8,111 units sold last month, up from 6,280 unit sales of August 2024. With the new MG Windsor being so well received, sales of the company have significantly improved to 5,717 units last month, up from 4,117 units.
Lower down the sales list, Honda Car sales dipped on a YoY basis to 4,041 units from 4,964 units sold in August 2024. Also reporting lower sales was Renault and Nissan. Renault sales fell to 2,593 units from 3,029 units while Nissan sales dipped to 1,440 units in the past month whereas there had been 2,011 units sold in August 2024.
Luxury Car Sales August 2025
Coming to the luxury car segment in India, Mercedes Benz sales fell to 1,305 units from 1,327 units. Sales could improve over the coming months with the company having announced a sizeable price reduction across its entire portfolio, following the new GST 2.0 policy. Also in the luxury car segment, BMW India sales improved to 1,273 units last month from 1,018 units sold in August 2024.
Force Motors sales dipped to 680 units from 747 units on a YoY basis while sales of BYD India improved strongly to 450 units sold last month, well over 227 units sold in the corresponding month last year. Jaguar sales on the other hand slipped to 442 units from 517 units. Citroen too suffered a YoY setback at 409 units down from 411 units sold in August 2024. There were other PV makers who added 1,580 units to total retail sales last month. It however marked a YoY decline from 1,767 units sold in August 2024.
Also read – Car Wholesales (company to dealer) Aug 2025
