The Indian automotive landscape is witnessing a sustained period of robust growth as the industry enters the latter half of FY2026. This momentum is being fuelled by a strategic double engine of favourable fiscal policy and aggressive corporate manoeuvring.

Industry analysts point to the recent reduction in Goods and Services Tax (GST) as a primary catalyst, significantly lowering the barrier to entry for consumers across multiple segments. Coupled with a feverish pace of new product launches, automakers are successfully stimulating replacement demand and capturing new market share. This synergy has resulted in a marked uptick in wholesale volumes, signalling a high-octane finish for the fiscal year.

As per the latest sales data released by the Society of Indian Automobile Manufacturers (SIAM), the apex body representing the automotive industry in the country, more than 2 million vehicles were sold in the last month of 2025, which marked a 36 percent YoY growth. During the period, passenger vehicle sales came at 399,216 units, up 27 percent YoY, three-wheelers at 61,924 units, up 17 percent YoY and two-wheelers at 1.54 million units, up 39 percent YoY.

Furthermore, for Q3 FY2026, a total of 7.47 million vehicles were sold in the country, which was 18 percent higher compared to same period last year. The passenger vehicle segment led by SUV demand saw over 1.2 million units sold, up 21 percent YoY. Three-wheeler segment registered 14 percent YoY growth with 215,211 units wholesales.

The commercial vehicle segment witnessed 22 percent growth with a total of 290,085 units sold, as compared to 238,666 units sold a year ago. Two-wheeler sales at 5.69 million units, registered a 17 percent YoY growth, as compared to 4.87 million units for the same period last year.

Shailesh Chandra, President, SIAM, said, “2025 has been a landmark year for the Indian Auto industry. The year began with a subdued first half, and the industry continued to navigate supply side challenges. With multiple structural policy reforms including the income tax relief, successive repo rate cuts and the rollout of GST 2.0 laid the foundation for a positive demand environment. The reduction of GST rates made vehicles more affordable and injected fresh momentum into the sector. Growth during the year has been broad-based across segments, with passenger vehicles, commercial vehicles and three-wheelers recording their highest ever sales and two-wheelers posting the 2nd highest sales ever, in a calendar-year.”

He further mentioned that two-wheeler sales crossed the 20-million-mark for the 2nd time in a calendar year with more than 20.50 million units wholesales, clocking 4.9 percent YoY growth in 2025.

“This was still behind the peak it had achieved in 2018. In addition, exports witnessed double-digit growth across vehicle segments in 2025, compared to calendar year 2024. Looking ahead, the industry expects the positive momentum to continue well into 2026, supported by stable macro-economic conditions, improving affordability and continued policy support. The industry will also continue to monitor geopolitical developments to ensure resilience in supply chain and export volumes,” said Chandra.

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  - Ajaykumar illa January 19, 2026 15:47 PM

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Alpine has appointed Massimo Fumarola as Vice President Strategy & Product Performance, with effect from 1 April 2026. He will become a member of the Alpine Management Committee and report directly to CEO Philippe Krief. Fumarola replaces Sovany Ang, who is moving to a new position elsewhere within Renault Group.

Bringing more than three decades of international automotive experience, Fumarola has deep knowledge in product and portfolio strategy, project management, product development and premium brands. His career includes leadership roles at IVECO, CNH Industrial, Ferrari, Audi, Lamborghini and most recently as CEO of Morgan Motor Company, where he led that brand’s strategic turnaround.

Since joining Renault Group in 2025, he has served as Director of Renault Couture while also handling broader product and project management duties. In his new capacity, Fumarola will shape Alpine’s long‑term plans and product strategy, ensuring that brand identity, technological advances, market trends and future vehicle development remain closely aligned.

Holding a Master’s in Engineering of Industrial Technologies from Politecnico di Milano and an MBA from Cranfield University, Fumarola combines technical grounding with strategic leadership, international perspective and P&L experience. His background in high‑performance, premium and luxury vehicles will be crucial as Alpine pursues its goal of becoming a distinctive electric brand focused on performance.

Krief said, “First of all, I would like to thank warmly Sovany for her dedication, commitment and support over the last years, it has been a pleasure to collaborate with her and her team. While I wish her all the best, I will not forget her and she is now next door. I am now looking forward to working closer with Massimo. His solid expertise combining product, strategic vision and customer experience with high-end sportscars brands will certainly help us to deploy our new strategy and future product portfolio. Massimo is joining at an exciting time for the brand, as we are just starting to unveil our Alpine Performance Platform, which will be our strongest asset for our upcoming product range.”

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Agratas, the Tata group’s global battery business, has completed the steel frame at its Sanand site in India. This achievement brings the site significantly closer to operational readiness and confirms that the production is on track to begin in 2027.

The completed steel frame measures 700 metres in length, 150 metres in width and reaches 34 metres at its highest point, covering a built-up area of 105,000 square metres. More than 24,000 tonnes of steel were used in the main structure, while work on associated buildings advances in parallel. Tata Projects Limited is executing the project with support from Tata Consulting Engineers and multiple steel contractors. All steel and the majority of other materials have been sourced from across India, strengthening domestic supply chains and reducing import dependence, with sustainability integrated into the design and construction approach.

India has committed to net zero emissions by 2070 and set a target of 500 GW of non-fossil fuel energy capacity by 2030, requiring rapid acceleration in electric mobility and grid scale energy storage supported by a robust domestic supply of advanced battery cells. The Sanand facility will have an annual capacity of 20 GWh in its first phase, producing advanced battery cells for electric vehicles and energy storage applications once operational. This will enable a faster and more affordable transition away from fossil fuels while positioning India as a key player in the global battery value chain.

Beyond manufacturing, the Sanand plant is expected to generate widespread employment across production, maintenance, quality assurance, engineering and technical roles. Agratas is also investing in local workforce development, building a pipeline of skilled professionals to support India’s emerging battery ecosystem and its position in the global value chain.

Sudhir Ghalsasi, Vice President – Capital Delivery, Agratas, said, “This milestone reflects the scale, complexity and pace of execution at Sanand. In a dynamic and evolving environment, translating detailed designs into on-ground reality comes with its own set of challenges. What began as a vision is now taking shape through strong collaboration, disciplined execution and a shared commitment across teams. Together with our partners, we’ve turned our plans into tangible progress, building a future-ready facility that will deliver long-term value.”

Deepak Khare, Vice President – Manufacturing Operations, Agratas, said, “Completing the steel frame at Sanand marks an important step in our journey towards operational readiness. As we move forward, our focus is on building the systems, processes and capabilities required to deliver reliable, world-class batteries made in India for the world while developing a highly skilled workforce to support safe and high-quality manufacturing.”

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Volvo Group, Daimler Truck and Toyota Motor Corporation have signed a non-binding Memorandum of Understanding (MoU) to cooperate within the fuel cell joint venture, cellcentric.

As per the understanding, Toyota intends to acquire an equal shareholding in the entity alongside the two founding partners. The collaboration aims to accelerate the development, production and commercialisation of fuel cell systems for heavy-duty vehicles and stationary applications.

Toyota and cellcentric plan to jointly manage the production of fuel cell unit cells, which serve as the core component of the power systems, along with related control elements and architecture.

The partners intend for cellcentric to operate as an autonomous centre of competence. While the three companies will collaborate on the underlying technology and hydrogen infrastructure, they will remain independent competitors in all other areas of their respective businesses.

The agreement focuses on achieving the scale required to make hydrogen a viable energy source for decarbonising the transport sector. The partners aim to support the broader hydrogen value chain, aligning with the objectives of the European Green Deal and the Hydrogen Society Act in Japan.

The transaction is not expected to have a significant impact on the financial position of the Volvo Group. The final legally binding agreement remains subject to approval by relevant boards and regulatory authorities.

Martin Lundstedt, President and CEO, Volvo Group, said, “We are thrilled to explore this collaboration with Toyota, so that we through cellcentric can accelerate and create critical mass for hydrogen applications. This is an important signal to customers, suppliers, and others in the ecosystem. Given the importance of accelerating the transformation into net-zero transportation, the need of great companies coming together and collaborating is more important than ever. Welcoming Toyota onboard will be a big leap towards realising decarbonisation of our industries.”

Karin Radstrom, President & CEO, Daimler Truck, said, “We are proud that Toyota plans to join cellcentric as a shareholder. This will enable us to strengthen development and further scale hydrogen technology, which we believe must complement battery-electric drives in decarbonising transport.”

Koji Sato, President and CEO, Toyota Motor Corporation, noted, “We are deeply grateful for the opportunity to soon be joining Daimler Truck and Volvo Group as partners in building a hydrogen society. Cellcentric which possess deep expertise in commercial fields together with Toyota ‘s over 30 years of fuel-cell development in the passenger car sector, can combine their strengths to deliver one of the world-leading fuel cell systems for heavy commercial vehicles. Toyota will continue to contribute to realising a hydrogen society alongside like-minded partners.”

Nicholas Loughlan, Managing Director, cellcentric, added, “We are extremely proud that Toyota is intending to join as a shareholder of cellcentric - a great sign of trust in our company from one of the world‘s leading automotive companies. Together, in this new set-up, we look forward to seizing the opportunity to significantly improve our company across the entire value chain.”

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The Society of Indian Automobile Manufacturers (SIAM), in partnership with the Delhi Traffic Police, Yamaha Motor India and Hindustan Times, held the Annual Principals’ Meet 2026 in New Delhi. The event, themed “Bridging the Gap: Connecting Road Awareness with Education,” convened over 400 school principals from across the Delhi-NCR region to discuss the formal integration of road safety modules into student learning.

The meeting is part of SIAM’s ‘Surakshit Safar’ initiative, which seeks to address rising road fatalities through a focus on human behaviour rather than vehicle technology alone.

The program saw over 100,000 students reached through structured modules in collaboration with Kendriya Vidyalaya Sangathan. Focus on pedestrians and two-wheeler users, who account for the highest percentage of road fatalities, promoting the consistent use of helmets and seatbelts while discouraging over-speeding through early-age education.

During the forum, SIAM recognised educational institutions for their efforts in promoting road safety awareness for the 2025–26 academic year:

1. School of the Year: Modern Public School, Shalimar Bagh, New Delhi.
2. 1st Runner Up: Mount Abu Public School, Rohini Sec-5, New Delhi.
3. 2nd Runner Up: Greenway Modern Sr. Sec. School, Dilshad Garden, New Delhi.

Prashant Banerjee, Executive Director, SIAM, stated, “India has already adopted the best of vehicle technologies, including active and passive safety systems, but road accident fatalities are still rising. What has been found is that this is largely a behavioral aspect which needs to be controlled. Enforcement alone cannot solve the issue. It is education that brings humility, politeness, and responsibility, and that is something we do not see on roads today.”

Sanjay Bandopadhyaya, Member, Supreme Court Committee on Road Safety, added, “Enforcement combined with education is the most effective and economical way to reduce fatalities. With schools, industry, media, and enforcement agencies coming together, we can ensure a significant reduction in accidents and make our roads much safer.”

Vijayanta Arya, Additional Commissioner of Police – Traffic, Delhi Police, commented, “Road safety cannot be achieved through enforcement alone, because the decision ultimately rests with the people using the road. This is where schools become central to the solution. While enforcement acts as a deterrent, education creates understanding, and together they can bring far more sustainable outcomes in improving road safety.”

S Kumar, Vice-President, India Yamaha Motor, said, “If we want to create lasting change, we must begin at the school level, where awareness can be translated into values and eventually into lifelong habits. From an industry perspective, we see a critical opportunity to promote road safety through school-level awareness and engagement.”

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