New Delhi [India], November 6 (ANI): Indian automobile retail recorded its second-best October on record, registering a 25.05 per cent month-on-month (MoM) increase over September, even as 51.65 per cent of dealers projected sales growth in November, according to data and survey findings released by the Federation of Automobile Dealers Associations (FADA).
According to FADA’s Online Members’ Survey, 51.65 per cent of dealers anticipated retail expansion in November, backed by Dhanteras and Diwali falling within the month. Meanwhile, 34.71 per cent forecasted flat volumes and 13.64 per cent expected de-growth.
Total vehicle retail sales reached 31,72,466 units during the month. Commenting on the October performance, FADA President Sai Giridhar said, “October is India’s largest retail month of the year, and this year it must be read with the calendar firmly in mind. Total vehicle retails stood at 31,72,466 units — 25.05% higher than September, but 23.80% lower than October 2025. That year-on-year decline is almost entirely optical.”
While registrations declined 23.80 per cent year-on-year (YoY) compared to October 2025, FADA noted that the contraction remained largely exceptional because the high base of the previous year combined both Navratri and Diwali along with GST rate cuts, whereas this year major festivals shifted into November.
“Seen correctly, this was still the second-highest October on record — with Commercial Vehicles, Three-Wheelers and Tractors each posting their best-ever October — and the 25% sequential jump over September is the truer measure of festive demand. What the year-on-year numbers conceal is where the decline sits,” Giridhar added.
He mentioned that the sharpest falls are precisely in the most Diwali-dependent pockets: rural two-wheelers, down 33.97 per cent against urban’s 20.77 per cent, and the Northern markets.
“To our mind this is the signature of demand deferred by the festival calendar, not demand destroyed,” Giridhar noted.
In segment volumes, two-wheelers accounted for 23,21,419 units, showing a 29.67 per cent MoM improvement. Commercial vehicle retail reached a historic peak of 1,15,140 units, up 2.29 per cent YoY and 11.19 per cent sequentially, driven by a 28.95 per cent surge in heavy commercial vehicles.
Passenger vehicle registrations stood at 5,07,768 units, marking the third-best October tally, though dealer channel inventory remained steady at 43 to 45 days.
Addressing the category trends and dealer inventory, Giridhar mentioned that, “Utility vehicles and a strong launch pipeline continued to anchor demand, while entry-level cars remained the softer spot. Our pressing concern is inventory: against record wholesale dispatches from manufacturers, Passenger Vehicle channel stock held at around 43–45 days — unchanged from September. With the Dhanteras-to-Diwali retail wave now under way, we expect inventory to fall back in 30 days range by end of CY.”
Clean mobility emerged as a key growth driver, with electric vehicle (EV) retail reaching an all-time peak of approximately 3.55 lakh units, up 44.88 per cent year-on-year, pushing EV penetration to around 11.5 per cent. (ANI)
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