Passenger car sales volume in India FY 2024, by OEM

In financial year 2024, Maruti Suzuki sold approximately 1.6 million passenger cars across India. This made it the leading car manufacturer in terms of car sales in India, followed distantly by Hyundai and Tata. The automobile sector across India saw recovering from the impact of the coronavirus (COVID-19) pandemic in the same year.

Is the Indian automobile market in trouble?

There were more than 326 million vehicles registered in India in the financial year 2020. Vehicle registrations grew at a compound annual growth rate of over 10 percent between 2017 and 2020. However, due to economic slowdown, the introduction of new Bharat Stage Emission Standards VI (BS-VI) in 2019, and the impact of the coronavirus pandemic, the domestic sales of vehicles have been declining since the financial year 2020 for two consecutive years. This continued until the financial year 2023. 

New trend – electric vehicles

With strong government support through policy initiatives such as the National Electric Mobility Mission Plan 2020 introduced in 2013, Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME) in 2015, and further FAME phase II in 2019, India was aiming to achieve 30 percent private electric vehicle ownership. As two-wheelers were the most popular types of automobiles for the last decade, in the financial year 2023, the majority of electric vehicles sold in India were also two-wheelers. The demand for electric vehicles is expected to rise significantly in the future.