TL;DR
Indian auto dealers anticipate steady demand in December, driven by tax cuts and festive incentives, with future growth expected from 2026 model launches and price adjustments.
Indian retail vehicle sales are projected to maintain steady demand through December, buoyed by a post-GST cut rebound and ongoing year-end incentive schemes. Dealers are expressing confidence, citing strong inquiry pipelines, the wedding season's demand, and improved inventory levels. Overall sales in November grew by 2.14%, defying expectations of a post-festive slowdown, though this was a slower pace compared to October’s significant growth.
Looking ahead, the Federation of Automobile Dealers Associations (FADA) anticipates sales growth for the next three months, with January 2026 price hikes, continued wedding-season demand, and the introduction of new 2026 models expected to stimulate the market. This outlook is further supported by liquidity from crop sales post-harvest and various government initiatives. Maruti Suzuki, for instance, reported a substantial 37% year-on-year jump in retail sales for its most affordable small cars in November.
