FADA Sales FY2025: Auto Sales Grow 6.46 Per Cent; Two-Wheeler, Passenger Vehicle Segments Post Single-Digit Growth

The Federation of Automobile Dealers Associations (FADA) released the sales data for the auto industry for FY2025 and March 2025. The Indian auto industry reported a cumulative sales growth of 6.46 per cent, with both passenger vehicles and two-wheeler sales posting a year-on-year growth. The two-wheeler segment closed the year at 1,88,77,812 units sold- up 7.71 per cent from 1,75,27,115 units, while passenger vehicle sales grew 4.87 per cent from 39,60,602 in FY2024 to 41,53,432 units in FY2025. Cumulative industry sales stood at 2,61,43,943 units for the year.

Also read: Two-wheeler Sales FY24-25: Hero MotoCorp Leads The Chart; Honda Just A Step Behind

Commenting on the industry’s sales performance, FADA President, C.S. Vigneshwar said, “FY25 truly showcased how adaptable and resilient India’s auto retail sector can be. Our initial forecast of low single-digit growth—around 5%—for Passenger Vehicles ended up hitting the mark almost perfectly at 4.87%. While we hoped for double digits in Two-Wheelers, we ended up at 7.71%. Commercial Vehicles, on the other hand, came in nearly flat at -0.17%, reminding us just how much factors like unpredictable weather, financing constraints, and shifting consumer sentiment can shape overall demand.”

Also read: Two-Wheeler Sales March 2025: Hero, TVS, Royal Enfield, Suzuki Witness Growth; Bajaj Sales Stable

Focusing on the other segments, three-wheeler sales in FY2025 grew 4.54 per cent year-on-year, while commercial vehicle and tractor sales reported a minor decline of 0.17 per cent and 1.04 per cent, respectively.

Monthly sales for March 2025 posted a slightly different picture with cumulative sales down 0.68 per cent from 21,41,483 units in March 2024 to 21,26,988 units in the same month this year.

Also read: Auto Sales March 2025: Mahindra, Maruti Suzuki Report Best Ever Sales in FY2025; Skoda Sales Touch New Monthly High

“The first three weeks of March were notably weak, largely due to the Kharmas period, but sales accelerated significantly in the last week, driven by positive triggers such as Navratri, Gudi Padwa, Eid, and year-end purchasing influenced by depreciation benefits. Overall, retail sales saw a YoY decline of -0.7% and a MoM increase of 12%. Among the segments, 2W, 3W, and Trac registered YoY drops of -1.7%, -5.6%, and -5.7%, respectively, while PV and CV grew by 6% and 2.6% YoY. All segments were in positive territory on a MoM basis.” said Vigneshwar

Notable sources of growth included the passenger vehicle and commercial vehicle segments, which posted gains of 6.26 per cent (3,50,603 units sold in March 2025 as against 3,29,946 units last year) and 2.68 per cent (94,764 units sold as against 92,292 units) respectively.

Also read: Auto Sales FY25: Toyota Records Best-Ever Sales in FY24-25 With 28 Per Cent Growth

Two-wheeler sales, meanwhile, were down 1.77 per cent from 15,35,398 units in March 2024 to 15,08,232 units, while three-wheeler and tractor sales were down 5.67 per cent and 5.71 per cent respectively. Sales, however, were up month-on-month compared to February 2025 across the board. Two-wheeler and passenger vehicle sales posted a month-on-month growth of 11.45 per cent and 15.56 per cent, respectively. Three-wheeler, commercial vehicles and tractor sales, meanwhile, grew by 5.52 per cent, 14.50 per cent and 12.87 per cent respectively.

Also read: Auto Sales FY2025: Maruti Suzuki Reports Highest-Ever Annual Domestic Sales; WagonR Is The Best-Seller

FADA added that it expects April to be an uncertain month for auto sales in the country owing to several domestic and global factors, including instances of heat waves and market volatility due to the recent tariff tensions in global markets. For the financial year, the dealer body said that it expected passenger vehicle sales to grow in the low single digits, with two-wheelers also likely to grow in mid to high single digits.