Indian Automotive Market H1 FY 2026 is a detailed report on Sales, Exports, and Production with qualitative analysis and forecast.
Indian Automotive sales declined by 1.5% in Q1 FY 2026 compared to Q1 FY 2025. India is considered an export hub for vehicles, primarily cars and Two-Wheelers. Exports grew by a double-digit 22.2% in Q1 FY 2026. Vehicle production in India also rose by 1.5%.
Agricultural Tractor demand and retail sales have increased by 11% because of the above-normal monsoon and positive rural sentiments. However, the Construction Industry is going through a tough time in the housing and office segments. Construction equipment sales declined by 4% YTD.
After GST 2.0, car and two-wheeler OEMs passed the benefits on to buyers to boost demand.
The Indian automotive market started to improve in Q2 FY 2026. GST 2.0 will have a long-term impact on its growth.
There is a cumulative impact of Q1 and Q2, which showed minor sales growth of 0.6% in H1 FY 2026 compared to H1 FY 2025.
Production of the vehicle in India and Export registered 5.8% and 24.3% growth.
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