September vehicle retail rises 31.82%
Vehicle registrations rose to 25.37 lakh in September, according to FADA, while passenger vehicle inventory reached 43-45 days. The association cautioned that the annual growth rate reflects a weak comparison base ahead of last year's GST changes.
But passenger vehicle inventory builds
India's vehicle retail registrations rose 31.82 per cent year on year to 25,36,920 units in September, according to the Federation of Automobile Dealers Associations. However, passenger vehicle inventory increased to around 43–45 days ahead of the festive season.
FADA said September's growth was amplified by the comparison with September 2025, when buyers deferred purchases ahead of GST changes. Registrations increased 4.69 per cent from August, offering a separate measure of the month's improvement. April–September registrations reached 1,55,12,319 units, up 20.77 per cent from the corresponding period.
Two-wheelers accounted for 17,90,188 registrations, up 33.08 per cent year on year. Passenger vehicles rose 32.10 per cent to 4,27,213 units, while commercial vehicles increased 37.62 per cent to 1,03,557. Three-wheelers, tractors and wheeled construction equipment also registered annual growth. Tractor registrations nevertheless fell 12.58 per cent from August.
The inventory build-up accompanied stronger passenger vehicle retail. FADA said stocks had increased by a further five days from August-end, with 60 per cent of passenger vehicle dealers reporting higher inventory for the upcoming festivals. The 43–45-day range is just over twice its recommended 21-day benchmark.
Electric vehicles accounted for 8.45 per cent of passenger vehicle registrations, against 7.63 per cent in August. CNG/LPG, hybrids and EVs together represented 41 per cent, slightly below petrol/ethanol at 41.27 per cent. Electric two-wheelers reached an 11.58 per cent share of their category.
These figures measure retail registrations, rather than manufacturers' wholesale dispatches. FADA compiled the data as of October 3 from 1,468 of 1,469 RTOs; September figures for three-wheelers, commercial vehicles and tractors exclude Telangana.
FADA expects festive deliveries to strengthen in October, but identified price increases, model availability and inventory discipline as risks. The report did not disclose the respondent count for its dealer sentiment and inventory survey.
