Automobile retail sales in India observe a strong growth in February 2026. The sale has been increased nearly 26 per cent compared to the same month last year. According to data released by the Federation of Automobile Dealers Associations (FADA), total vehicle retail sales is recorded around 24.09 lakh units whereas in February 2025 19.17 lakh units were recorded. The month turned out to be one of the strongest periods for the auto industry.
FADA said February became the best-ever February for auto retail sales in India, with strong demand across most vehicle categories. Five out of six major segments i.e., two-wheelers, passenger vehicles, commercial vehicles, three-wheelers and tractors have recorded their highest sales for the month. Only the construction equipment segment saw a slight decline of about 1.2%.
FADA president C. S. Vigneshwar said the performance showed strong demand in the market. He described the month as “a landmark month for the Indian auto retail sector.”
Passenger vehicles also performed strongly during the month. Retail sales of passenger vehicles rose 26.1% year-on-year to 3,94,768 units, marking the highest February sales for this segment despite the shorter month. In this category, Maruti Suzuki remained the market leader with 1,54,095 units sold and a 39% market share. It was followed by Tata Motors with 56,447 units (14.3%), Mahindra & Mahindra with 53,281 units (13.5%), and Hyundai Motor India with 45,615 units (11.55%).
The data also showed that SUVs and utility vehicles continued to dominate demand, while better sentiment in rural markets helped increase sales of entry-level cars, especially among first-time buyers.
Fuel preferences among buyers also showed interesting trends. Petrol and ethanol vehicles accounted for about 46% of passenger vehicle sales, while CNG and LPG vehicles made up around 23.45%. Diesel models held 18.8% share, while hybrid vehicles accounted for 8.19% and electric vehicles for 3.48% of total passenger vehicle retail sales.
Other segments also recorded strong growth. Commercial vehicle retail sales increased 28.9% to 1,00,820 units, while three-wheeler sales rose 24.4% to 1,17,130 units, making it the best February performance for that segment.
The tractor segment recorded the fastest growth, with sales rising to 89,418 units, mainly driven by strong rural demand. In fact, rural areas accounted for more than 82% of total tractor sales.
FADA officials also said that stable prices and lower loan rates helped maintain demand. Sai Girdhar, vice-president of FADA, said “OEMs have been cautious with price revisions,” which helped keep vehicle prices stable and support sales.
Syed Ziyauddin is a media and international relations enthusiast with a strong academic and professional foundation. He holds a Bachelor’s degree in Mass Media from Jamia Millia Islamia and a Master’s in International Relations (West Asia) from the same institution.
He has work with organizations like ANN Media, TV9 Bharatvarsh, NDTV and Centre for Discourse, Fusion, and Analysis (CDFA) his core interest includes Tech, Auto and global affairs.
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