India’s automobile industry delivered a mixed performance in the first quarter of 2025-26, with passenger vehicle exports reaching an all-time high even as domestic sales remained largely flat, according to data released by the Society of Indian Automobile Manufacturers (SIAM) on Monday.

Passenger vehicle sales crossed the one million mark for the second consecutive year in Q1, reaching 1.01 million units, though this represented a 1.4 percent decline compared to the same period last year. The segment’s performance was buoyed by utility vehicles, which now account for 66 percent of passenger vehicle sales and posted 3.8 percent growth, whilst passenger cars declined 11.2 percent.

The standout performer was exports, with passenger vehicles achieving record Q1 exports of 204,000 units, marking a 13.2 percent year-on-year increase. This surge was driven by stable demand across most markets, with particularly strong performance in the Middle East and Latin America, alongside recovery in neighbouring markets such as Sri Lanka and Nepal.

"The performance of the Auto industry was relatively flat, though the retail registration for Passenger Vehicles, Two-Wheelers and Three-Wheelers were marginally higher than the previous Q1," said Shailesh Chandra, President of SIAM.

The two-wheeler segment faced headwinds with wholesale sales declining 6.2 percent to 4.67 million units due to inventory correction across the industry. However, retail registrations increased 5 percent during the quarter, driven by the marriage season and positive demand sentiments. Two-wheeler exports showed robust growth of 23.2 percent to 1.14 million units.

Three-wheelers achieved their highest-ever Q1 sales of 165,000 units, representing marginal growth of 0.1 percent. The segment benefited from increased economic activity supporting urban transportation demand and easier financing options. Exports in this category surged 34.4 percent to 96,000 units.

Commercial vehicles posted a marginal decline of 0.6 percent to 223,000 units, though exports grew strongly by 23.4 percent to around 20,000 units.

Looking ahead to Q2, SIAM expressed cautious optimism despite ongoing challenges. The upcoming festive season is expected to drive demand, particularly for passenger vehicles and two-wheelers, whilst an above-normal monsoon could aid rural income recovery.

"With the upcoming festival season coupled with the benefits of RBI repo rate cuts, we expect consumer sentiments to improve," Chandra added.

The Reserve Bank of India's cumulative repo rate cuts of 100 basis points over the past six months are expected to gradually ease borrowing costs, potentially boosting consumer sentiment and affordability.

However, supply-side challenges persist, particularly the recent export licensing requirement from China on rare earth magnets, which has raised concerns for original equipment manufacturers across all categories.

"Sales of Passenger Vehicles in Q1 of 2025-26 de-grew by (-) 1.4 percent, posting sales of 1.01 million units as compared to Q1 of previous year," said Rajesh Menon, Director General of SIAM.

In June alone, passenger vehicle sales declined 7.4 percent to 312,849 units, whilst two-wheeler sales fell 3.4 percent to 1.56 million units. Three-wheeler sales bucked the trend with 3.8 percent growth to 61,828 units.

The industry's overall domestic sales fell 5.1 percent in Q1 to 60.75 million units, reflecting the challenging operating environment facing India's automotive sector.

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Toyota Kirloskar Motor (TKM) has marked 20 years of the Innova SUV in India, with cumulative sales of over 1.2 million units across the Innova, Innova Crysta and Innova HyCross models.

Launched in 2005, the Innova set a new benchmark in the MPV segment with its combination of ride comfort, spacious interiors, durable build and advanced safety features. The Innova Crysta followed in 2016 with a new design, more powerful engines and premium features, while the 2022 Innova HyCross introduced self-charging hybrid technology, delivering 186 PS of combined output and segment-leading fuel efficiency. The HyCross has sold 100,000 units in India since its launch.

Varinder Wadhwa, Vice-President – Sales, Service and Used Car Business, Toyota Kirloskar Motor, said, “The Toyota Innova has built a deep emotional bond with customers over the last two decades – trusted as a dependable companion for families, loved by all for its comfort and reliability and chosen time and again across generations. Whether for daily commutes or memorable road trips, the Innova has remained a part of countless personal journeys. Beyond its emotional connect, the Innova stands strong as a product benchmark – offering spacious interiors, robust build quality and smooth drivability, making it one of the most trusted and loved MPVs in India.”

Toyota attributed the Innova’s sustained popularity to its comfort, practicality, and adaptability, supported by customer-focused enhancements and the company’s after-sales ecosystem, T CARE, which offers services from quick delivery to value-added protection and transparent maintenance.

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Tata Motors, one of India’s leading SUV manufacturers, has unveiled the all-new Adventure X Persona variants for the Tata Harrier and Tata Safari SUVs.

The new variant now equips the Harrier and Safari Adventure Persona with many segment-first ADAS features such as Adaptive Cruise Control (AT), 360deg HD Surround View, Trail Hold EPB with Auto Hold, Trail Response Modes (Normal, Rough, Wet), a Land Rover-derived Command Shifter (AT), along with segment-leading features such as the Ergo Lux Driver Seat with Memory & Welcome function, a 26.03 cm Ultra-View Twin Screen System, Trail Sense Auto Headlamps, Aqua Sense Wipers and Multi Drive Modes (City, Sport, Eco). 

The persona edition starts at INR 1.89 million for the Harrier Adventure X and INR 1.99 million for the Safari Adventure X+ variants.

Vivek Srivatsa, Chief Commercial Officer, Tata Passenger Electric Mobility Ltd, said, "The Harrier and Safari have always stood for more than just mobility – they represent status, purpose, and a deep-rooted desire for an adventurous lifestyle. With the introduction of the Adventure X persona, we’ve modernised these icons for a new era – one that champions individuality, precision-crafted design, and intelligent capability – all while offering more value per car. Designed for those who seek authenticity, capability and expression in equal measure, the Adventure X is positioned at a compelling price point in the segment, offering class leading features. Furthermore, with this new persona, we have also reimagined the Harrier and Safari line completely, making the range more intuitive, streamlined and value-rich than ever before in the high SUV space.”

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Audi has introduced an enhanced warranty and roadside assistance programme in India, providing customers with extended protection and support. The luxury automaker now offers a 10-year extended warranty option, complementing its standard manufacturer’s warranty. This optional coverage safeguards against manufacturing defects for vehicles up to a decade old, with mileage protection extending to 200,000 kilometres. Customers can choose between one or two-year extensions with terms matching the original warranty. The programme is available for all Audi models and can be purchased either at the time of new vehicle delivery or before the existing warranty expires.

Alongside the warranty extension, Audi has expanded its roadside assistance programme to 15 years, delivering round-the-clock emergency support across India’s national and state highways, as well as other motorable roads. Services include towing, technical assistance for minor issues, fuel delivery, battery boosts, tyre repair and lockout support. Premium features such as hotel accommodations for prolonged repairs, vehicle safekeeping and dedicated customer updates further enhance the offering. Pricing for roadside assistance starts at INR 3,999, with options tailored to different vehicle ages and coverage durations.

Both new and existing Audi customers can benefit from these programmes, with current owners eligible to upgrade based on their vehicle’s age and warranty status. This initiative underscores Audi’s commitment to delivering superior ownership experiences in India’s luxury automotive market.

Balbir Singh Dhillon, Head of Audi India, said, “At Audi India, we believe that our relationship with customers extends far beyond the point of purchase. Our extended warranty and Audi Roadside Assistance Programme is an extension of our unwavering commitment to customer satisfaction and establish new industry standards for luxury automotive service in India. With a 10-year extended warranty and 15-year roadside assistance, we intend to offer our customers an unparalleled peace of mind, knowing that support is always available.”

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Japanese automaker Suzuki Motor Corporation has announced that its popular hatchback the ‘Wagon R’ series has achieved a new sales milestone.

First introduced in September 1993 in Japan, the Wagon R has now crossed cumulative global sales of 10 million units by June 2025. The milestone was achieved 31 years and 9 months after the first launch.

The Wagon R was originally developed as a semi-bonnet style mini wagon, designed with rider comfort and ease of use in mind. It has become one of Suzuki’s signature models, widely appreciated in Japan.

Over the years, production expanded beyond Japan to countries including India, Hungary and Indonesia, with the model evolving to suit local market needs. The technologies refined for global minicar standards have been applied across the Wagon R series.

To date, the Wagon R has been sold in over 75 countries and regions, including Japan, India and across Europe. The series has consistently improved in terms of fuel efficiency, environmental performance, and user convenience. For instance, CNG variants with enhanced fuel economy have been introduced in India, while the Wagon R Smile – featuring sliding doors – was launched in Japan.

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