India's Auto Sector Sees Growth Amid Geopolitical Concerns

India's Auto Sector Sees Growth Amid Geopolitical Concerns.webp

New Delhi, March 13 Domestic sales of passenger vehicles from manufacturers to dealers increased by 10.6% year-on-year to 417,705 units in February, as positive market sentiment continued, but the conflict in West Asia remains a concern as it could impact manufacturing and exports, the Society of Indian Automobile Manufacturers (SIAM) said on Friday.

Sales of passenger vehicles stood at 377,689 units in February 2025.

The growth in PV sales last month was mainly driven by utility vehicles, which saw a growth of 13.5% at 236,957 units, compared to 208,795 units in February last year.

Sales of passenger cars declined by 3.8% at 106,799 units last month, compared to 110,966 units in the year-ago period, SIAM said.

Sales of vans in the domestic market were at 11,620 units last month, compared to 11,493 units in February 2025, up 1.1%, it added.

Sales of two-wheelers rose by 35.2% to 18,71,406 units last month, compared to 13,84,605 units in February last year, the Society of Indian Automobile Manufacturers (SIAM) said in a statement.

Sales of motorcycles in February were up 30.8% at 10,96,537 units, compared to 8,38,250 units in the year-ago month.

Similarly, sales of scooters rose by 42.3% at 7,29,774 units last month, compared to 5,12,783 units in the same period last year, SIAM said.

Sales of three-wheelers to dealers increased by 29% last month at 74,573 units, compared to 57,788 units in the year-ago period, it added.

Commenting on the performance, SIAM Director General Rajesh Menon said, "Positive sentiment in the industry continues as passenger vehicles, two-wheelers, and three-wheelers posted their highest ever sales in February 2026, with double-digit growth compared to February 2025."

On the road ahead, he said, "While March has festive drivers in several parts of the country, the recent conflict in West Asia remains a concern, both from the perspective of the supply chain, which could impact the manufacturing processes and exports."

The industry will closely monitor evolving geopolitical developments, he added.
 
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automotive industry domestic sales exports geopolitical developments india manufacturing market sentiment motorcycles passenger cars passenger vehicles scooters siam three-wheelers two-wheelers utility vehicles west asia
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