TL;DR
India's car imports jumped 129% in FY26, with China becoming the largest source, despite the market's domestic manufacturing focus.
India experienced a substantial surge in car imports during the fiscal year 2025-26, with volumes increasing by an impressive 129% year-on-year. China emerged as the largest source country by value, followed closely by Germany and Japan, collectively accounting for over 60% of India's total car import bill.
Despite the Indian passenger vehicle market's strong reliance on domestically manufactured products, the data from the Department of Commerce reveals a significant shift towards fully imported cars. The value of these imports also rose by 38% year-on-year to ₹8,610 crore, indicating a growing preference for international models among some segments of Indian consumers.
