The domestic production of the two-wheeler segment dropped to about 1.83 crore in FY21 as against the production of about 2.10 crore in FY20, financial services credit rating company Infomerics Valuation and Rating said in a report.

According to the Industry Outlook Automobile Industry report, the Indian automobile industry is valued at more than INR 8 lakh crore. Its turnover contributes approximately 7.1 percent of overall GDP, 27 per cent of industrial GDP and 49 per cent of manufacturing GDP. 

With the pandemic causing havoc in the automobile industry, the numbers have plummeted in FY21 for both production and sales, compared to the figure in FY20.

The study said two-wheeler is the most significant contributor to the automobile sector. It contributes about four-fifth to the overall industry, followed by passenger vehicles, contributing approximately 13 per cent to the industry.

Following some positive steps from the government, the automobile industry emerged as the top sector during the first four months of FY2021-22 with a 23 per cent share of the total FDI equity inflow, the study pointed out. The reforms by the government in FDI policy, investment facilitation and improving ease of doing business are some of the reasons for the increased FDI inflow, it said.

Along with enhancing FDI, the government has floated INT 25,938 crore worth of new production-linked incentive (PLI) scheme for the auto sector. The PLI Scheme for Automobile and Auto Components Industry will lead to a new investment of more than INR 42,500 crore, incremental production of over INR 2.3 lakh crore for five years. It is also expected to create additional employment opportunities for more than 7.5 lakh jobs.

The government also extended the second phase of the Faster Adoption and Manufacturing of Hybrid and Electric vehicle (FAME) scheme by two years to 31 March 2024. Besides, the Central government approved the INR 76,000 crore scheme to boost semiconductor and display manufacturing.

However, the study pointed some significant challenges for the industry in future. It said there was a mismatch between funds allocated and disbursed. The Union government has only disbursed about 10 per cent (about INR 820 crore) of the total subsidies out of INR 8,596 crore earmarked under the FAME-II scheme. EV makers pointed out that the aggressive localisation criteria for qualifying for FAME-II were a reason for the limited disbursal under the scheme. The semiconductor shortage has also been adversely affecting the industry. The automotive component industry, which had a turnover of INR 3.40 lakh crore (USD 45.9 billion) for the April 2020-March 2021 period, posted a de-growth of 3 per cent, compared with the turnover in the previous year.

The report said the restructuring of Ford’s Indian operations caused massive anxiety for dealers and customers. The future of about 170 Ford dealers with a combined investment of INR 2000 crore and about 40,000 employees is uncertain, the study pointed out.

Some foreign original equipment manufacturers (OEMs) who exited in the last four years include General Motors in 2017, MAN Trucks in 2018, United Motor Cycles in 2019 and Harley Davidson in 2020. Accordingly, the FADA sought to introduce legislation, viz., Automobile Dealers Protection Act, to create an enabling environment for automobile dealers. Industry body FADA also indicated that it was the worst festive season in the decade, with overall vehicle registrations falling 18 per cent in 2021 as against the festive season in 2020.

However, the report highlighted that the EV segment and the sector growth is optimistic and is also likely to get an impetus by the government’s series of incentives.

Besides, the report is not very optimistic about the overall industry in the short term due to the semiconductor shortage and infrastructure challenges on the EV front.

The industry faces challenges from other factors like triple-digit fuel prices and the sudden exit of big companies. The report suggested that the industry needs to work on the semiconductor issue and try to develop native capacities, adding that the government needs to work in tandem and consider reducing fuel prices. (MT)

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Chennai-headquartered two-wheeler and three-wheeler major TVS Motor Company (TVSM) has launched the most advanced TVS Raider variant with several segment-first features at prices starting INR 95,600 (ex-showroom Delhi) for TFT DD and INR 93,800 (ex-showroom Delhi) for SXC DD models.

The new TVS Raider includes ‘boost mode,’ a category-first feature with iGO Assist technology, delivering torque of 11.75Nm @ 6000rpm. The motorcycle includes segment-first Dual Disc Brakes and ABS (Anti-lock Braking System). It also features GTT (Glide Through Technology) for low-speed manoeuvrability and fuel efficiency.

The motorcycle now has a new 90/90-17 Front and 110/80-17 Rear tyre configuration, which improves grip and handling. The bike has a metallic silver finish with red alloys.

Aniruddha Haldar, Senior Vice President — Head Commuter & EV Business and Head Corporate Brand & Media, TVS Motor Company, said, "The TVS Raider redefines what young riders can seek from their motorcycle. In 4-years it won the love of a million plus Gen Z riders. Today, the new TVS Raider is equipped with the exhilarating 'Boost mode' powered by iGO Assist tech, and another segment first - Dual Disc with ABS. With yet another segment-first Glide Through Technology (GTT) now can navigate through even slow traffic with ease. The stylish loaded new TVS Raider raises the 'wicked' bar yet again, bringing together thrilling performance, top-notch safety, and unmatched ease. We remain committed to creating motorcycles that our customers are delighted to ride and proud to own."

The TVS Raider continues to be powered by a 3-valve 125cc engine that produces 11.75 Nm of torque at 6,000rpm. Smart technology like iGO Assist with Boost Mode offers an instant power surge and GTT ensures smooth handling.

A segment-first safety feature, the Follow Me Headlamp, keeps the headlamp lit for a time after the ignition and engine are switched off, helping to light the way for the rider in dark areas. Riders can choose between two connected display options: a TFT with over 99 features or a reverse LCD with more than 85 features.

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Honda Motorcycle & Scooter India, a leading two-wheeler manufacturer, has reported wholesales of 568,164 units in September, which was 3 percent lower than 583,633 units sold last year.

The company’s domestic sales came at 505,693 units, down 6 percent, as compared to 536,391 units, while exports came at 62,471 units, up 32 percent YoY.

For H1 FY2026 (April–September 2025), HMSI's cumulative total sales reached just under three million units at 2.99 million units. This comprised 2.67 million units in the domestic market and 311,517 units exported globally.

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Hero MotoCorp, the world’s largest two-wheeler manufacturer, has reported its wholesales for September 2025 and YTD FY2026.

The company sold a total of 687,220 two-wheelers in September, which marked a 7.87 percent as compared to 637,050 units last year. This included 626,217 motorcycles, up 4.8 percent YoY and 61,003 scooters, up 54 percent YoY. On the exports front, the company shipped 39,638 units, as compared to 20,344 units last year.

The strong monthly performance contributed to steady growth, a trend rooted in the strategic diversification of the product portfolio, including 12 new scooters and motorcycles launched since the last festive season. The month’s dispatch performance coincided with a major milestone: Hero MotoCorp became the first Indian company to surpass the 125 million cumulative two-wheeler production mark.

Hero MotoCorp stated that positive momentum is visible across the business. Showroom and dealership footfalls have more than doubled compared to the festive season last year, driven by the festive spirit and new GST benefits, with significant traction observed in the high-volume commuter segment.

The company’s electric vehicle business, Vida, powered by Hero, continued its strong growth trajectory, recording 12,736 VAHAN registrations in September 2025. This performance, led by the recently launched Vida VX2 Evooter, resulted in a sharp YoY EV market share rise from 4.7 percent to 12.2 percent, underscoring growing consumer trust in the brand. The company noted that demand for Vida currently remains ahead of supply in several key markets, indicating robust traction for its EV business this festive season.

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Suzuki Motorcycle India (SMIPL), one of the leading two-wheeler manufacturers, has reported strong sales for September 2025, buoyed by the start of the festive season and recent tax reforms.

The two-wheeler subsidiary of Suzuki Motor Corporation, Japan, recorded total sales of 123,550 units, marking 25 percent over the 99,185 units sold in September 2024.

Domestic sales were the primary growth driver, with SMIPL registering a robust 37 percent YoY growth with 105,886 units sold in September, up from 77,263 units in the same month last year.

Deepak Mutreja, Vice-President – Sales & Marketing, Suzuki Motorcycle India, said, “September has been a remarkable month for SMIPL. The festive cheer translated into strong demand driving 37 percent growth in our domestic sales. The recent GST reduction has further added to customer enthusiasm, by making our two-wheelers even more affordable. We are optimistic that this momentum will continue through the festive season and beyond, enabling us to serve a larger customer base with our trusted motorcycles and scooters.”

Further complementing the sales performance, SMIPL recorded its highest ever spare parts sale of INR 881 million for the third consecutive month, registering a 17 percent YoY growth.

While domestic sales soared, exports saw a reduction. SMIPL exported 17,664 units in September 2025, compared to 21,922 units exported during September 2024.

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