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Festive Season And GST Relief Drive Robust Auto Sector Surge In October 2025
Festive Season And GST Relief Drive Robust Auto Sector Surge In October 2025: SIAM
India's automobile industry recorded robust growth across key segments in October 2025, buoyed by strong festive demand and the impact of the recent GST rate reduction, according to data released by the Society of Indian Automobile Manufacturers (SIAM).
New Delhi: India's automobile industry recorded robust growth across key segments in October 2025, buoyed by strong festive demand and the impact of the recent GST rate reduction, according to data released by the Society of Indian Automobile Manufacturers (SIAM).
As per SIAM, domestic sales of Passenger Vehicles (PV) rose 17.2 per cent, with 4,60,739 units dispatched to dealerships in October 2025, up from 3,93,238 units in the same month last year. The month marked the highest-ever October dispatches for the segment.
The Two-Wheeler category also witnessed an uptick, with sales growing 2.1 per cent to 22,10,727 units, compared to 21,64,276 units in October 2024. Within this segment, scooter sales saw a strong 14.3 per cent jump to 8,24,003 units, while motorcycle sales declined 4 per cent to 13,35,468 units.
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In the Three-Wheeler segment, overall sales stood at 81,288 units, reflecting a 5.9 per cent rise over October 2024. Passenger carriers grew 7.6 per cent, while goods carriers increased 2.8 per cent. Electric three-wheelers, however, registered a decline, with e-rickshaw sales dropping 27.2 per cent and e-cart sales falling 3.4 per cent.
Total production of passenger vehicles, three-wheelers, two-wheelers and quadricycles in October 2025 stood at 28,01,412 units, SIAM said.
Commenting on the trend, Rajesh Menon, Director General, SIAM, said the record dispatches in October reflected a strong market recovery driven by festival-season buying sentiment and the GST cut that became effective from 22 September 2025.
"Passenger Vehicle, Two and Three-Wheeler segments posted their highest ever dispatches to dealers in October, primarily buoyed by the festive demand and the recent GST rate reduction, despite being constrained due to certain logistic limitations," Menon said.
The GST rate reduction had also led to a notable rise in vehicle registrations, signalling continued retail strength beyond wholesales.
"With the reduced GST rates becoming effective from 22nd September 2025, October witnessed a strong uptick in Vehicle Registrations, resulting in a notable rise compared to Wholesales," added Menon.
Source: ZeeNews
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