October 2025 Car Sales – Snapshot

The domestic passenger-vehicle market reported volumes of ~4,66,814 units in October 2025, representing a year-on-year increase of around 17.3%. Automakers like Maruti, Tata, Mahindra, and Kia reported their all-time best-ever monthly numbers in October '25. The rise in sales last month was strongly linked to the introduction of the new GST structure (GST-2.0), which cut tax on entry-level cars from ~28 % to ~18 % and the Festive season demand (Dussehra, Diwali) aided a boost vehicle purchases.

The new GST regime kicked in around 22 September 2025, which lowered the tax burden on smaller cars, making them more affordable and triggering pent-up demand in Oct'25. The festive period (Navratri, Dussehra, Diwali) traditionally sees a surge in vehicle purchases in India. In October 2025, the combination of tax cuts and festival timing resulted in a large upward momentum. Rural demand gained strongly, and first-time buyers (upgrading from two-wheelers) are playing a significant role in demand revival.

• Maruti Suzuki maintained its leadership position by leveraging its strong small-car and entry-level portfolio. The GST 2.0 boosted demand in that segment, benefiting Maruti heavily. However, the OEM dispatches grew by 10.5% YoY and saw Market Share drop to 37.8% in Oct'25 vs 40.1% in the same period last year.

• Mahindra saw the largest growth percentage among major mass-market OEMs! Its strong SUV portfolio appears to have capitalised well on the uptick in demand. Mahindra also emerged as the clear No.2 OEM and was ahead by >10k units from third-ranked Tata.

• Tata Motors ranked third in Oct'25 and recorded an impressive YoY growth of ~27%. Tata’s models have seen significant price cuts up to ~₹1.55 lakh (for the Nexon) and have helped the momentum move up.

• Hyundai has now slipped to No.4 and was the only OEM in Top 5 to register a YoY degrowth. The Korean major is betting big on the New Venue launch in Nov'25 and will be gunning to recover lost market share.