TL;DR
India's two-wheeler sales hit a record 22 million units in FY26, with electric two-wheelers showing significant growth of 47.4% in March alone.
India's two-wheeler industry achieved an all-time high in Fiscal Year 2026, with domestic wholesale volumes soaring to approximately 22 million units. A report from ICRA highlighted a robust performance, particularly in March 2026, where wholesale volumes saw a 20% year-on-year increase and retail sales jumped by 28.7%. The overall domestic market experienced an 11% growth for the full fiscal year, driven by factors such as GST reforms, improved rural cash flows, and supportive macroeconomic policies like repo-rate cuts and income tax relief.
Within this impressive growth, the electric two-wheeler segment demonstrated remarkable momentum. Retail volumes for electric two-wheelers (e2W) surged by 47.4% year-on-year in March 2026, reaching 1,92,023 units. For the entire FY26, e2W volumes grew by 21.9%, indicating a clear shift towards green mobility. While the overall market penetration for electric bikes stood at 3.3% for the fiscal year, it peaked at 9.4% in March, signaling increasing consumer readiness to adopt electric options.
