Revved Up: Auto Industry Sees Double-Digit Growth in 2025

Passenger vehicle dispatches surged by 27% in December 2025, fueled by high demand for utility vehicles, according to SIAM. The total passenger vehicle sales reached 3,99,216 units. Two-wheeler dispatches rose 39%, with three-wheelers up by 17%. Strong momentum and favorable conditions are expected to sustain growth into 2025-26.

Passenger vehicle dispatches from manufacturers to dealerships spiked by 27% in December 2025 as demand for utility vehicles soared, the Society of Indian Automobile Manufacturers (SIAM) revealed on Tuesday.

Total passenger vehicle sales hit 3,99,216 units last month, compared to 3,14,934 units in December 2024, marking a 26.8% rise. Meanwhile, two-wheeler dispatches saw a massive 39% increase, totaling 15,41,036 units in December, up from 11,05,565 units in the previous year, SIAM reported.

Three-wheeler sales also witnessed a significant jump, rising 17% to 61,924 units. SIAM expressed optimism regarding the sales outlook as the industry enters the final quarter of the year with strong growth, bolstered by steady pipeline bookings, interest rate cuts, and supportive policy reforms by the Indian government.

(With inputs from agencies.)