May Auto Sales Remains Muted, Cheaper Loans & Above Normal Monsoon May Drive Growth

Auto Wholesales

The Society of Indian Automobile Manufacturers (SIAM), the apex body representing automakers in India, has announced the wholesale data for May 2025. The month gone by saw a total of 2.05 million vehicles sold across the two-wheeler, three-wheeler and four-wheeler categories. This marked a flat growth versus 2.02 million vehicles sold last year, but an 11 percent growth over April 2025.

Looking at the segment-wise sales, the passenger vehicle sales were primarily driven by the robust demand for SUVs with 196,821 units sold, up 7.6 percent, as compared to 182,883 units sold last year. On the other hand, passenger car sales declined by 12.2 percent with 93,951 units sold, as compared to 106,952 units sold last year.

The three-wheeler segment was in the red across segments, with a total of 53,942 units sold, down 3.3 percent YoY.

In the two-wheeler space, the wholesales for motorcycles remained flat at 1.03 million units sold, while scooter sales grew by 7 percent at 579,507 units sold as compared to 540,866 units sold last year.

Commenting on the sales data, Rajesh Menon, Director General, SIAM, said, “All vehicle segments posted stable performance in May 2025. Passenger Vehicles segment posted sales of 3.45 lakh units, though 2nd highest ever of May, the segment de-grew marginally by 0.8 percent compared to May 2024, three-wheelers de-grew by 3.3 percent compared to May of previous year, with sales of 0.54 lakh units, while two-wheeler segment grew by 2.2 percent in May 2025, as compared to May 2024, with sales of 16.56 lakh units. Going forward, the RBI’s three repo rate cuts totalling 100 basis points in less than six months, along with a forecast of above-normal monsoons are some of the indicators which should positively impact the auto sector by improving affordability and boosting consumer sentiment in the coming months.”

Force Motors Rolls Out 100,000th Engine For BMW India

BMW - Force

Pune-headquartered automotive major Force Motors has attained a new milestone of rolling out the 100,000th engine from its Chennai assembly facility for BMW Group.

Established in 2015, the Force Motors’ Chennai facility exclusively manufactures engines for the full range of BMW cars in India, which aids in the German major’s localisation plans. The 100,000th engine will be incorporated in a BMW X5.

 The commemorative roll-out was carried out in the presence of dignitaries from both Force Motors as well as the BMW Group, namely Marcus Wollens, Vice-President, BMW-Production Network 2, BMW AG; Thomas Dose, Managing Director, BMW Group Plant Chennai, along with Prasan Firodia, Managing Director, Force Motors.

Marcus Wollens, said, "We are thrilled to celebrate roll-out of the 100,000th BMW engine at Force Motors Chennai Plant which is result of a decade of outstanding partnership and dedication. Our engines stand for excellent engineering, innovative technology and high performance. This partnership reinforces BMW Group’s commitment to deliver world-class products in India. The 100,000th engine milestone stands as a testament to our shared vision and exemplifies the robust Indo-German synergy that continues to thrive."

Thomas Dose, said, "BMW Group Plant Chennai takes pride in producing cars that have the same international quality standards as any of the BMW Group production and assembly facilities worldwide. Our valuable partnership with Force Motors sets higher benchmarks not only in quality standards but also in our steadfast commitment to ‘Make in India’ and localisation. The roll-out of 100,000th engine is a proud moment that reflects the strength of our robust cooperation with Force Motors.”

Prasan Firodia, Managing Director, Force Motors, added, “This year marks a decade that the Force Motors’ state-of-the-art engine assembly plant in Chennai has been in operation and it gives us immense pleasure to be able to celebrate this significant roll-out of the 100,000th engine. We are honoured to be a trusted and strategic partner to BMW Group in India, and this milestone stands testimony to the commitment, precision, and quality that this collaboration resonates. As BMW Group India continues to expand its presence, Force Motors remains committed to supporting its growth through best-in-class manufacturing, operational excellence and in playing a role in making world-class automotive components in India.”

Yamaha’s Chennai Factory Marks a Decade of Manufacturing Excellence

Yamaha’s Chennai Factory Marks a Decade of Manufacturing Excellence

India Yamaha Motor (IYM) Pvt Ltd has achieved a significant milestone in its manufacturing journey with the completion of 10 years of operations at its Chennai Factory. Reinforcing its role as a critical production base for both domestic and global markets, the company also celebrated the roll-out of its five millionth two-wheeler from this state-of-the-art facility—an Aerox 155 Version S that marked the milestone.
 Over the past decade, the Chennai plant has become a cornerstone of Yamaha’s global operations to serve both Indian customers and export markets. It currently manufactures Yamaha’s hybrid scooter range including the RayZR 125 Fi and Fascino 125 Fi, along with the performance-oriented Aerox 155 Version S. From an export standpoint, the facility also produces the FZ series, the Saluto range, and the Alpha scooter—reinforcing the factory’s role in delivering Yamaha's trusted quality to diverse global markets. More than 30% of the factory’s total output is exported, reflecting its manufacturing strength and global relevance.
Speaking on the occasion, Itaru Otani, Chairman, Yamaha Motor India Group of Companies, said, “The Chennai factory holds strategic importance in Yamaha’s global manufacturing network. It exemplifies our unwavering focus on people, processes, and products—driven by skilled employees, synchronized operations, and a strong commitment to global quality standards. As one of Yamaha’s most modern manufacturing facilities worldwide, it has supported India’s mobility aspirations while reinforcing its role as a trusted exporter to global markets. As we celebrate the roll-out of the 5 millionth two-wheeler, I extend my deepest appreciation to our dedicated employees, vendor partners and passionate customers who have made this journey possible. We will continue to progress, and Chennai factory will keep playing a major role in addressing the evolving customer demands in Indian and overseas markets.”
Spread across 177 acres, the Chennai factory operates with a unique integrated model—109 acres dedicated to IYM and 68 acres to co-located vendor partners—enabling seamless synchronization under a unified ‘One Factory’ concept. This approach has enhanced manufacturing efficiency, speed, and supply chain integration, making the facility one of Yamaha’s most advanced in the world.
Over the last decade, the Chennai manufacturing facility has been consistently upgraded to support Yamaha's evolving premium product strategy—producing high value-added motorcycles and scooters with small to midrange engine displacements. With India’s stringent emission regulations, Yamaha Motor Company Ltd. identified an opportunity to position this plant as a global export hub, delivering products that meet the highest standards of performance and compliance. Today, the factory supports Yamaha’s portfolio across segments—ranging from premium models for Indian customers to those tailored for markets in Europe, Latin America, ASEAN, and beyond. With its focus on quality, digital systems, and sustainable technologies, the facility is well-prepared for the future of smart and eco-friendly manufacturing.
Demonstrating Yamaha’s long-standing commitment to sustainability, the plant houses an installed solar power capacity of 4450 kW, significantly reducing its carbon footprint and supporting green manufacturing practices. The facility incorporates state-of-the-art infrastructure and advanced technologies for zero-water discharge and recycle/reuse of wastewater. It is also designed for maximum use of sunlight, and the buildings are compatible with solar power system installation. All common utilities are centrally located to minimize distribution loss and ensure centralized management, making it a model of sustainable industrial planning.
As Yamaha celebrates this dual milestone, the Chennai plant stands as a testament to the brand’s long-term commitment to make-in-India as a strong manufacturing and development hub of world-class two-wheelers. This achievement marks a significant step forward in strengthening Yamaha’s motorcycle business in Indian market with the unwavering support and loyal partnership of our enthusiastic customers who continue to inspire us at every step to push the limits of innovation and performance offering unique and enriching experiences worldwide.

Audi, Fraunhofer Trial AI And Robotics For Smarter Automotive Production At Bollinger Hofe

Audi

German automotive brand Audi Sport is partnering with Fraunhofer Institutes IAO and IPA to explore how artificial intelligence (AI) and robotics can improve automotive production processes at its Bollinger Hofe site, a key pilot facility for the carmaker’s 360factory strategy.

The collaboration focuses on optimising the manual picking process – where vehicle components are retrieved from logistics containers to supply the assembly line –through a real-world laboratory set up at the facility. The trials aim to reduce errors, ease physical strain and improve supply efficiency by integrating advanced technologies into everyday operations.

The project began with a comprehensive needs analysis, during which employees wore eye-tracking smart glasses to identify cognitively demanding tasks. This data will guide the deployment of tailored AI and robotics solutions in production.

Alexander Muller, Head of Logistics at Audi Sport, said, “Low-volume production at Bollinger Hofe, such as the Audi e-tron GT family, is ideal for testing. The high degree of vehicle customisation makes the picking process especially complex.”

Researchers are testing computer vision systems and mobile robots equipped with 3D sensors and various grippers. Real customer orders serve as test scenarios, allowing the team to assess technology performance in realistic conditions.

“We are bringing research directly into the plant, and workers are actively involved in evaluating the technologies,” Muller added.

Bernd Bienzeisler, Head of the Cognitive Service Systems Research and Innovation Center KODIS at Fraunhofer IAO, noted, “This is a new chapter in industry-science collaboration. The direct feedback from employees working in real environments makes the insights particularly valuable.”

The project forms part of the broader AI25 initiative, a collaboration launched by Audi, Fraunhofer and other partners to accelerate the digital transformation of automotive production. Bollinger Hofe plays a central role within this ecosystem, which is anchored in the Heilbronn region’s Innovation Park for Artificial Intelligence (IPAI).

Kinetic Watts and Volts Inaugurates New Manufacturing Facility In Maharashtra

Kinetic Watts and Volts

Kinetic Watts and Volts, the e-mobility arm of Kinetic Group, has inaugurated its new 87,000 sqft plant at Ahilya Nagar, Maharashtra.

The new facility the company shared is designed to be future-ready and will integrate advanced automation, precision assembly lines and sustainability practices. The plant will also leverage digitalisation and automation across operations.

Incorporated on 27 September 2022, Kinetic Watts and Volts is focussing on the electric vehicle segment. The subsidiary has non-exclusive rights to the Kinetic brand for a period three-years starting 2025. Till date, Kinetic Engineering and other promoters have invested INR 428 million in the subsidiary with an additional INR 290 million to be infused soon, which takes the total investment to INR 718 million.

Ajinkya Firodia, Vice-Chairman, Kinetic Group, said, “This facility represents our commitment to shaping the future of mobility with world-class manufacturing excellence. It’s a proud moment for Kinetic Watts and Volts and for the entire Kinetic Group as we set the stage for a new era of innovation, sustainability, and electric mobility from India.”

The company aims to not only introduce products for the Indian market but also explore export opportunities.