New Delhi:
India’s automobile retail market delivered a blockbuster performance in February 2026, clocking its best-ever February sales and reinforcing the strong tailwinds created by GST 2.0 reforms, improving rural demand, and healthier dealer inventory alignment. According to the Federation of Automobile Dealers Associations (FADA), total vehicle retail sales surged to 24,09,362 units, marking an impressive 25.62% year-on-year growth—a performance that proves the Indian auto market can accelerate even in a shorter month.
In simple terms: February had fewer days, but the auto industry clearly made every single one count.
A Record-Breaking Month Across Segments
Nearly every segment of the Indian automotive ecosystem enjoyed a strong run in February. From motorcycles zipping through city streets to tractors powering rural fields, retail demand remained broad-based.
February 2026 Retail Performance:
- Overall Retail: 24,09,362 units | +25.62% YoY
- Two-Wheelers: 17,00,505 units | +25.02% YoY
- Passenger Vehicles: 3,94,768 units | +26.12% YoY
- Commercial Vehicles: 1,00,820 units | +28.89% YoY
- Three-Wheelers: 1,17,130 units | +24.39% YoY
- Tractors: 89,418 units | +36.35% YoY
- Construction Equipment: 6,721 units | -1.22% YoY
The data reveals a rare scenario where five out of six segments recorded their highest-ever February retail volumes, underlining strong underlying demand across both personal mobility and economic activity-driven sectors.
GST 2.0 and Rural India Lead the Charge
Industry experts attribute much of this surge to the confidence triggered by GST 2.0, which has improved affordability and stimulated consumer sentiment across multiple vehicle segments.
FADA President C S Vigneshwar noted that February became a landmark month for the sector as the post-GST policy optimism translated into tangible showroom footfalls and bookings.
But the real surprise hero of February? Rural India.
Passenger vehicle retail growth in rural markets surged 34.21% YoY, significantly outperforming urban growth of 21.12%. Strong agricultural income, better liquidity and the ongoing wedding season helped drive vehicle purchases beyond metro cities.
And while SUVs continue to dominate India’s passenger vehicle landscape, small cars are quietly regaining traction in rural markets.
Two-Wheelers and Freight Demand Add Fuel
The two-wheeler segment, India’s mobility backbone, continued its impressive momentum with 17 lakh units sold, powered by commuter demand, new product launches and festive enquiries.
Urban markets grew 28.96%, while rural areas recorded a 22.16% increase—proof that motorcycles and scooters remain India’s most dependable transport solution.
Meanwhile, the commercial vehicle sector grew 28.89%, riding on strong freight movement, infrastructure activity and booming e-commerce logistics. Fleet operators appear increasingly confident about economic activity in the months ahead.
Tractors Become the Fastest-Growing Segment
The biggest acceleration came from the tractor segment, which surged 36.35% YoY, making it the fastest-growing category in February.
Strong crop outcomes, improved rural cash flows and mechanisation demand helped tractors race ahead of other segments—confirming that when India’s farms prosper, vehicle showrooms benefit too.
Inventory Alignment Signals Healthier Market
A particularly encouraging signal for the industry came from passenger vehicle inventory levels, which dropped to 27–29 days.
This is moving closer to FADA’s recommended 21-day benchmark, indicating better coordination between automakers and dealers. In industry terms, that means fewer cars gathering dust in stockyards and more cars finding happy owners.
March Outlook: Festivals and Year-End Buying
Looking ahead, dealer sentiment remains upbeat.
According to FADA’s survey:
- 75.51% of dealers expect growth in March
- 19.90% expect a stable market
- Only 4.59% anticipate de-growth
March is expected to benefit from a powerful combination of financial year-end purchases and major festivals, including Navratri, Ramzan, Ugadi, Gudi Padwa and Eid.
Year-end depreciation benefits, festival-led enquiries and improved rural cash flows are expected to keep showrooms busy.
Three-Month Outlook: From Rebound to Stable Growth
While the immediate outlook remains positive, dealer expectations for the next three months (March–May) have become slightly more measured.
- 67.35% of dealers expect growth
- 27.55% expect stability
- 5.10% foresee de-growth
This suggests the market may gradually transition from a sharp post-GST rebound phase into a more stable and sustainable growth cycle.
The Road Ahead
Overall, the February 2026 auto retail data reflects a sector firing on multiple cylinders—policy support, rural prosperity, healthy inventory management and strong consumer sentiment.
And if February’s record numbers are anything to go by, India’s automotive market seems to have only one gear engaged right now: forward.
Because when tractors, trucks, scooters and SUVs all start selling together at record pace, it usually means one thing—the Indian economy is not just moving, it’s driving fast.
Charts showing Vehicle Retail Data for various period
All India Vehicle Retail Data for FY’26 YTD (Apr’25 to Feb’26)
| CATEGORY | YTD FY’26 | YTD FY’25 | Growth % |
| 2W | 1,94,58,477 | 1,73,73,374 | 12.00% |
| 3W | 12,53,658 | 11,21,513 | 11.78% |
| CV | 9,57,853 | 8,60,318 | 11.34% |
| CE | 64,176 | 72,418 | -11.38% |
| PV | 42,50,900 | 38,01,594 | 11.82% |
| TRAC | 9,67,849 | 8,08,803 | 19.66% |
| Total | 2,69,52,913 | 2,40,38,020 | 12.13% |
Source: FADA Research
All India Vehicle Retail Data for Feb’26
| CATEGORY | Feb’26 | Jan’26 | Feb’25 | MoM% | YoY% |
| 2W | 17,00,505 | 18,52,870 | 13,60,155 | -8.22% | 25.02% |
| 3W | 1,17,130 | 1,27,134 | 94,162 | -7.87% | 24.39% |
| E-RICKSHAW(P) | 34,848 | 44,456 | 32,342 | -21.61% | 7.75% |
| E-RICKSHAW WITH CART (G) | 7,268 | 7,656 | 6,381 | -5.07% | 13.90% |
| THREE-WHEELER (GOODS) | 14,335 | 14,199 | 10,832 | 0.96% | 32.34% |
| THREE-WHEELER (PASSENGER) | 60,572 | 60,701 | 44,536 | -0.21% | 36.01% |
| THREE-WHEELER (PERSONAL) | 107 | 122 | 71 | -12.30% | 50.70% |
| PV | 3,94,768 | 5,13,475 | 3,13,015 | -23.12% | 26.12% |
| TRAC | 89,418 | 1,14,759 | 65,579 | -22.08% | 36.35% |
| CE | 6,721 | 6,834 | 6,804 | -1.65% | -1.22% |
| CV | 1,00,820 | 1,07,486 | 78,219 | -6.20% | 28.89% |
| LCV | 57,547 | 65,505 | 46,262 | -12.15% | 24.39% |
| MCV | 8,089 | 7,648 | 5,797 | 5.77% | 39.54% |
| HCV | 35,127 | 34,287 | 26,071 | 2.45% | 34.74% |
| Others | 57 | 46 | 89 | 23.91% | -35.96% |
| Total | 24,09,362 | 27,22,558 | 19,17,934 | -11.50% | 25.62% |
Source: FADA Research
Chart showing Fuel Wise Vehicle Retail Market Share for Feb’26
| Two-Wheeler | Feb’26 | Jan’26 | Feb’25 | Three-Wheeler | Feb’26 | Jan’26 | Feb’25 | |
| PETROL/ETHANOL | 93.34% | 93.27% | 94.06% | EV | 56.70% | 59.60% | 56.37% | |
| EV | 6.57% | 6.63% | 5.64% | CNG/LPG | 28.28% | 27.11% | 30.86% | |
| CNG/LPG | 0.09% | 0.10% | 0.30% | DIESEL | 14.64% | 12.88% | 12.24% | |
| Total | 100% | 100% | 100% | PETROL/ETHANOL | 0.39% | 0.41% | 0.53% | |
| Total | 100% | 100% | 100% | |||||
| Commercial Vehicle | Feb’26 | Jan’26 | Feb’25 | Construction Equipment | Feb’26 | Jan’26 | Feb’25 | |
| Diesel | 83.50% | 81.97% | 82.97% | Diesel | 100% | 99.97% | 99.04% | |
| CNG/LPG | 11.04% | 12.51% | 11.34% | CNG/LPG | 0.1% | 0.01% | 0.03% | |
| PETROL/ETHANOL | 3.40% | 3.58% | 4.63% | PETROL/ETHANOL | 0.0% | 0.01% | 0.06% | |
| EV | 2.03% | 1.92% | 1.02% | EV | 0.0% | 0.00% | 0.87% | |
| HYBRID | 0.02% | 0.03% | 0.04% | Total | 100% | 100% | 100% | |
| HYDROGEN | 0.00% | 0.00% | 0.00% | |||||
| Total | 100% | 100% | 100% | |||||
| Passenger Vehicle | Feb’26 | Jan’26 | Feb’25 | Tractor | Feb’26 | Jan’26 | Feb’25 | |
| PETROL/ETHANOL | 46.08% | 47.49% | 48.30% | Diesel | 99.99% | 99.99% | 99.99% | |
| Diesel | 18.80% | 17.07% | 19.65% | PETROL/ETHANOL | 0.00% | 0.01% | 0.01% | |
| CNG/LPG | 23.45% | 22.91% | 20.38% | Total | 100% | 100% | 100% | |
| HYBRID | 8.19% | 8.94% | 8.64% | |||||
| EV | 3.48% | 3.60% | 3.04% | |||||
| Total | 100% | 100% | 100% |
Source: FADA Research
All India Vehicle Retail Strength YoY and MOM comparison for Feb’26.
| Category | MoM% | YoY% | Category | MoM% | YoY% |
| 2W | CV | ||||
| Urban | -9.49% | 28.96% | Urban | -6.84% | 25.78% |
| Rural | -7.23% | 22.16% | Rural | -5.54% | 32.21% |
| Total | -8.22% | 25.02% | Total | -6.20% | 28.89% |
| 3W | CE | ||||
| Urban | -6.11% | 13.20% | Urban | -4.18% | -4.52% |
| Rural | -9.25% | 35.28% | Rural | 0.46% | 1.57% |
| Total | -7.87% | 24.39% | Total | -1.65% | -1.22% |
| PV | TRAC | ||||
| Urban | -22.92% | 21.12% | Urban | -29.35% | 30.55% |
| Rural | -23.41% | 34.21% | Rural | -20.30% | 37.68% |
| Total | -23.12% | 26.12% | Total | -22.08% | 36.35% |
| Total | |||||
| Urban | -12.82% | 26.12% | |||
| Rural | -10.38% | 25.21% | |||
| Total | -11.50% | 25.62% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
- Commercial Vehicle is subdivided in the following manner
- LCV – Light Commercial Vehicle (incl. Passenger & Goods Vehicle)
- MCV – Medium Commercial Vehicle (incl. Passenger & Goods Vehicle)
- HCV – Heavy Commercial Vehicle (incl. Passenger & Goods Vehicle)
- 3-Wheeler is sub-divided in the following manner
- E-Rickshaw – Passenger
- E-Rickshaw – Goods
- 3-Wheeler – Goods
- 3-Wheeler – Passenger
- 3-Wheeler – Personal
OEM wise Market Share Data for Feb’26 (YoY comparison)
| Two-Wheeler OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| HERO MOTOCORP LTD | 4,57,826 | 26.92% | 3,86,703 | 28.43% |
| HONDA MOTORCYCLE AND SCOOTER INDIA (P) LTD | 4,31,253 | 25.36% | 3,29,857 | 24.25% |
| TVS MOTOR COMPANY LTD | 3,33,935 | 19.64% | 2,54,599 | 18.72% |
| BAJAJ AUTO GROUP | 1,80,846 | 10.63% | 1,54,205 | 11.34% |
| BAJAJ AUTO LTD | 1,80,846 | 10.63% | 1,54,205 | 11.34% |
| CHETAK TECHNOLOGY LIMITED | – | 0.00% | – | 0.00% |
| SUZUKI MOTORCYCLE INDIA PVT LTD | 94,398 | 5.55% | 77,292 | 5.68% |
| ROYAL-ENFIELD (UNIT OF EICHER LTD) | 91,216 | 5.36% | 71,974 | 5.29% |
| INDIA YAMAHA MOTOR PVT LTD | 60,967 | 3.59% | 46,327 | 3.41% |
| ATHER ENERGY LTD | 20,584 | 1.21% | 11,978 | 0.88% |
| GREAVES ELECTRIC MOBILITY PVT LTD | 4,724 | 0.28% | 3,704 | 0.27% |
| CLASSIC LEGENDS PVT LTD | 4,468 | 0.26% | 2,350 | 0.17% |
| OLA ELECTRIC TECHNOLOGIES PVT LTD | 3,968 | 0.23% | 8,675 | 0.64% |
| PIAGGIO VEHICLES PVT LTD | 2,867 | 0.17% | 2,358 | 0.17% |
| BGAUSS AUTO PRIVATE LIMITED | 2,411 | 0.14% | 1,219 | 0.09% |
| RIVER MOBILITY PVT LTD | 2,255 | 0.13% | 613 | 0.05% |
| Others Including EV | 8,787 | 0.52% | 8,301 | 0.61% |
| Total | 17,00,505 | 100% | 13,60,155 | 100% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
- Others include OEMs accounting less than 0.1% Market Share.
| Three-Wheeler OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| BAJAJ AUTO LTD | 44,556 | 38.04% | 34,659 | 36.81% |
| PIAGGIO VEHICLES PVT LTD | 8,812 | 7.52% | 6,656 | 7.07% |
| MAHINDRA & MAHINDRA LIMITED | 8,637 | 7.37% | 6,504 | 6.91% |
| MAHINDRA LAST MILE MOBILITY LTD | 8,514 | 7.27% | 6,485 | 6.89% |
| MAHINDRA & MAHINDRA LIMITED | 123 | 0.11% | 19 | 0.02% |
| TVS MOTOR COMPANY LTD | 5,201 | 4.44% | 2,429 | 2.58% |
| ATUL AUTO LTD | 3,140 | 2.68% | 2,327 | 2.47% |
| YC ELECTRIC VEHICLE | 1,952 | 1.67% | 3,373 | 3.58% |
| DILLI ELECTRIC AUTO PVT LTD | 1,591 | 1.36% | 1,710 | 1.82% |
| SAERA ELECTRIC AUTO PVT LTD | 1,573 | 1.34% | 2,075 | 2.20% |
| ZENIAK INNOVATION INDIA LTD | 1,420 | 1.21% | 670 | 0.71% |
| HOOGHLY MOTORS PVT LTD | 1,265 | 1.08% | 330 | 0.35% |
| Others including EV | 38,983 | 33.28% | 33,429 | 35.50% |
| Total | 1,17,130 | 100% | 94,162 | 100% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
- Others include OEMs accounting less than 1% Market Share.
.
| Commercial Vehicle OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| TATA MOTORS LTD | 35,900 | 35.61% | 27,184 | 34.75% |
| MAHINDRA & MAHINDRA LIMITED | 27,014 | 26.79% | 21,168 | 27.06% |
| MAHINDRA & MAHINDRA LIMITED | 24,995 | 24.79% | 19,692 | 25.18% |
| MAHINDRA LAST MILE MOBILITY LTD | 2,019 | 2.00% | 1,476 | 1.89% |
| ASHOK LEYLAND LTD | 18,619 | 18.47% | 14,606 | 18.67% |
| ASHOK LEYLAND LTD | 18,261 | 18.11% | 14,481 | 18.51% |
| SWITCH MOBILITY AUTOMOTIVE LTD | 358 | 0.36% | 125 | 0.16% |
| VE COMMERCIAL VEHICLES LTD | 8,263 | 8.20% | 6,356 | 8.13% |
| VE COMMERCIAL VEHICLES LTD | 8,203 | 8.14% | 6,306 | 8.06% |
| VE COMMERCIAL VEHICLES LTD (VOLVO BUSES DIVISION) | 60 | 0.06% | 50 | 0.06% |
| MARUTI SUZUKI INDIA LTD | 4,489 | 4.45% | 3,679 | 4.70% |
| DAIMLER INDIA COMMERCIAL VEHICLES PVT. LTD | 2,389 | 2.37% | 1,713 | 2.19% |
| FORCE MOTORS LIMITED | 2,097 | 2.08% | 2,002 | 2.56% |
| SML ISUZU LTD | 1,066 | 1.06% | 993 | 1.27% |
| Others | 983 | 0.98% | 518 | 0.66% |
| Total | 1,00,820 | 100.00% | 78,219 | 100.00% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
- Others include OEMs accounting less than 1% Market Share.
| Construction Equipment OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| JCB INDIA LIMITED | 3,377 | 50.25% | 3,150 | 46.30% |
| ACTION CONSTRUCTION EQUIPMENT LTD. | 699 | 10.40% | 850 | 12.49% |
| AJAX ENGINEERING LTD | 470 | 6.99% | 469 | 6.89% |
| ESCORTS KUBOTA LIMITED (CONSTRUCTION EQUIPMENT) | 443 | 6.59% | 427 | 6.28% |
| BULL MACHINES PVT LTD | 223 | 3.32% | 179 | 2.63% |
| CASE NEW HOLLAND CONSTRUCTION EQUIPMENT(I) PVT LTD | 176 | 2.62% | 178 | 2.62% |
| TATA HITACHI CONSTRUCTION MACHINERY COMP. PVT LTD | 170 | 2.53% | 190 | 2.79% |
| CATERPILLAR INDIA PRIVATE LIMITED | 145 | 2.16% | 133 | 1.95% |
| M/S SCHWING STETTER (INDIA) PRIVATE LIMITED | 101 | 1.50% | 94 | 1.38% |
| ALL TERRAIN CRANE | 73 | 1.09% | 91 | 1.34% |
| WIRTGEN INDIA PVT LTD | 71 | 1.06% | 38 | 0.56% |
| MAHINDRA & MAHINDRA LIMITED | 69 | 1.03% | 104 | 1.53% |
| Others | 704 | 10.47% | 901 | 13.24% |
| Total | 6,721 | 100.00% | 6,804 | 100.00% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
- Others include OEMs accounting less than 1% Market Share.
| PV OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| MARUTI SUZUKI INDIA LTD | 1,54,095 | 39.03% | 1,20,010 | 38.34% |
| TATA MOTORS LTD | 56,447 | 14.30% | 39,502 | 12.62% |
| MAHINDRA & MAHINDRA LIMITED | 53,281 | 13.50% | 42,414 | 13.55% |
| HYUNDAI MOTOR INDIA LTD | 45,615 | 11.55% | 39,368 | 12.58% |
| TOYOTA KIRLOSKAR MOTOR PVT LTD | 26,392 | 6.69% | 23,283 | 7.44% |
| KIA INDIA PRIVATE LIMITED | 25,031 | 6.34% | 19,479 | 6.22% |
| SKODA AUTO VOLKSWAGEN GROUP | 7,615 | 1.93% | 6,777 | 2.17% |
| SKODA AUTO VOLKSWAGEN INDIA PVT LTD | 7,566 | 1.92% | 6,750 | 2.16% |
| VOLKSWAGEN AG/INDIA PVT. LTD. | 32 | 0.01% | 2 | 0.00% |
| AUDI AG | 10 | 0.00% | 23 | 0.01% |
| SKODA AUTO INDIA/AS PVT LTD | 7 | 0.00% | 2 | 0.00% |
| HONDA CARS INDIA LTD | 4,774 | 1.21% | 5,354 | 1.71% |
| JSW MG MOTOR INDIA PVT LTD | 4,548 | 1.15% | 4,846 | 1.55% |
| RENAULT INDIA PVT LTD | 3,248 | 0.82% | 2,547 | 0.81% |
| NISSAN MOTOR INDIA PVT LTD | 1,622 | 0.41% | 1,747 | 0.56% |
| FORCE MOTORS LIMITED | 1,415 | 0.36% | 565 | 0.18% |
| MERCEDES -BENZ GROUP | 1,371 | 0.35% | 1,306 | 0.42% |
| MERCEDES-BENZ INDIA PVT LTD | 1,275 | 0.32% | 1,188 | 0.38% |
| MERCEDES -BENZ AG | 95 | 0.02% | 117 | 0.04% |
| DAIMLER AG | – | 0.00% | – | 0.00% |
| MERCEDES BENZ | 1 | 0.00% | 1 | 0.00% |
| BMW INDIA PVT LTD | 1,216 | 0.31% | 1,208 | 0.39% |
| STELLANTIS GROUP | 1,009 | 0.26% | 764 | 0.24% |
| STELLANTIS AUTOMOBILES INDIA PVT LTD | 805 | 0.20% | 427 | 0.14% |
| STELLANTIS INDIA PVT LTD | 204 | 0.05% | 337 | 0.11% |
| JAGUAR LAND ROVER INDIA LIMITED | 478 | 0.12% | 515 | 0.16% |
| VINFAST AUTO INDIA PVT LTD | 384 | 0.10% | – | 0.00% |
| BYD INDIA PRIVATE LIMITED | 306 | 0.08% | 278 | 0.09% |
| Others | 5,921 | 1.50% | 3,052 | 0.98% |
| Total | 3,94,768 | 100.0% | 3,13,015 | 100.0% |
Source: FADA Research
Disclaimer:
- The above numbers do not have figures from TS.
- Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
| Tractor OEM | Feb’26 | Market Share (%) Feb’26 | Feb’25 | Market Share (%) Feb’25 |
| MAHINDRA & MAHINDRA LIMITED (TRACTOR) | 21,471 | 24.01% | 15,519 | 23.66% |
| MAHINDRA & MAHINDRA LIMITED (SWARAJ DIVISION) | 16,897 | 18.90% | 12,751 | 19.44% |
| INTERNATIONAL TRACTORS LIMITED | 11,564 | 12.93% | 8,351 | 12.73% |
| ESCORTS KUBOTA LIMITED (AGRI MACHINERY GROUP) | 10,125 | 11.32% | 6,582 | 10.04% |
| TAFE LIMITED | 8,892 | 9.94% | 6,580 | 10.03% |
| JOHN DEERE INDIA PVT LTD (TRACTOR DEVISION) | 6,673 | 7.46% | 5,057 | 7.71% |
| EICHER TRACTORS | 5,546 | 6.20% | 4,092 | 6.24% |
| CNH INDUSTRIAL (INDIA) PVT LTD | 4,158 | 4.65% | 2,691 | 4.10% |
| Others | 4,092 | 4.58% | 3,956 | 6.03% |
| Total | 89,418 | 100% | 65,579 | 100% |
Source: FADA Research
Disclaimer:
Others include OEMs accounting less than 1% Market Share.
The above numbers do not have figures from TS.
Vehicle Retail Data has been collated as on 02.03.26 in collaboration with Ministry of Road Transport & Highways, Government of India and has been gathered from 1,459 out of 1,464 RTOs.
