India's domestic passenger vehicle market recorded 13,60,687 sales in July–September 2026, up 30.7% from the corresponding quarter a year earlier, according to the Society of Indian Automobile Manufacturers (SIAM). The industry body's report, released on 15 October, also puts September passenger vehicle sales at 4,54,574 units. These are category-wide figures and should not be confused with a ranking of individual car models.
Q2 FY2027 auto sales: the main numbers
| Vehicle category | Domestic sales, July–September 2026 | Year-on-year change |
|---|---|---|
| Passenger vehicles | 13,60,687 | +30.7% |
| Two-wheelers | 64,32,842 | +15.2% |
| Commercial vehicles | 3,09,063 | +28.7% |
| Three-wheelers | 2,85,342 | +23.6% |
These figures describe domestic sales reported for the quarter, not vehicle registrations at the retail counter. They should also not be added to export volumes. SIAM says Q2 was the highest Q2 on record for all four categories.
Utility vehicles account for 68% of passenger vehicle sales
Utility vehicles represented 68% of passenger vehicle sales in the quarter, according to SIAM. Their volumes grew 34.2% year on year, while passenger car sales grew 24.9%. That mix helps explain why SUVs and other utility vehicles now dominate product planning and sales discussion, but the 68% share is a quarterly category figure, not the share of any one model or manufacturer.
SIAM points to improved affordability after the GST changes, a comparatively low year-earlier base, financing support and demand for new vehicle technologies as contributors to the growth. These are the association's assessment of market conditions; the reported sales data alone cannot isolate the effect of each factor.
September 2026: 4,54,574 passenger vehicles
| September measure | Reported units |
|---|---|
| Passenger vehicle domestic sales | 4,54,574 |
| Two-wheeler domestic sales | 24,63,103 |
| Three-wheeler domestic sales | 98,162 |
SIAM's September passenger vehicle total includes Tata Motors' domestic sales in this release. SIAM says the total would have been 3,85,764 without Tata Motors. BMW, Mercedes-Benz, Jaguar Land Rover and Volvo Auto data are unavailable in its September PV total, so readers should not treat the figure as a census of every manufacturer in India.
Our September model ranking is a separate, partial list of reported models and model groups. Its top 25 entries cannot be summed to recreate SIAM's all-category passenger vehicle total. The same caution applies when comparing SIAM's manufacturer data with vehicle registration figures: dispatch and registration timing can differ, especially around a festive season.
What happened in the other segments?
Two-wheelers reached 64,32,842 domestic sales for the quarter, up 15.2%. SIAM says scooters grew 27.7% and motorcycles 7.4%, making scooters the faster-growing part of the two-wheeler market in this period. Three-wheelers grew 23.6% to 2,85,342, supported in SIAM's assessment by last-mile passenger and cargo demand. Commercial vehicles rose 28.7% to 3,09,063, with freight movement, infrastructure activity and fleet replacement cited as contributing factors.
Exports tell a different story
Passenger vehicle exports were approximately 2.29 lakh units in Q2 FY2027, down 5.2% year on year. SIAM points to a high comparison base and logistics constraints linked to the West Asia crisis. By contrast, two-wheeler exports reached approximately 16.5 lakh units, up 27.7%, and three-wheeler exports were about 1.6 lakh units, up 30.4%. These rounded export figures are separate from the exact domestic sales figures in the table above.
How to read the growth rate
The 30.7% passenger vehicle increase compares July–September 2026 with July–September 2025. It does not mean every brand or car grew by the same percentage. A low base can magnify year-on-year growth, while a strong festive stocking cycle can raise manufacturer-to-dealer volumes ahead of customer deliveries. For a fuller picture of demand, readers should examine retail registrations and dealer inventory alongside manufacturer-reported domestic sales.
SIAM expects positive momentum in the second half of FY2027, while warning that year-on-year growth rates could moderate against a higher base and that inflation, interest rates and geopolitical conditions remain risks. That is an outlook, not a forecast for a specific model's sales.
Quick questions
Is this the same as September's top-selling cars list?
No. SIAM's number covers a broad passenger vehicle category with the stated reporting exclusions. A top-model list includes only the models shown and may group related nameplates.
Do the figures count cars registered to customers?
No. The SIAM figures here are industry domestic sales reports. Retail registration datasets measure a different stage of the sales chain.
Does 68% mean SUVs alone?
SIAM uses the broader utility vehicle category. Its 68% share refers to that category's contribution to passenger vehicle sales in Q2 FY2027.
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