M&M dethrones Hyundai to claim No 2 spot in India’s PV market for FY26

For the first time in a financial year, Mahindra & Mahindra (M&M) has ended the long-standing legacy of Hyundai Motor India (HMIL) to become the country’s second-largest domestic passenger vehicle (PV) manufacturer. In FY2025-26, M&M recorded sales of 6,60,276 units, surpassing Hyundai’s 5,84,906 units.

Even Tata Motors overtook HMIL in the last fiscal year, posting total domestic wholesales (dispatches to dealers) of 6,31,387 units. This marks the first time in Hyundai’s Indian history since the late 1990s that the company has slipped from the number two position to number four.

“Our ambition has been to be the No. 1 SUV (sports utility vehicle) player by revenue and we are proud to have achieved that. We are equally humbled to be the No.2 passenger vehicle company for FY26. Above all, our priority remains unchanged: to create products that truly wow our customers and we are delighted to see that coming to life,” Rajesh Jejurikar, Executive Director and Chief Executive Officer, Auto and Farm – M&M, told businessline.

Undisputed leader

Maruti Suzuki India (MSIL) remains the undisputed leader in the PV segment, maintaining a massive lead over all competitors with domestic wholesales of 18,23,129 units in FY26, compared to 17,60,767 units in FY25.

While other original equipment manufacturers (OEMs)—including MSIL, Tata, M&M, Toyota Kirloskar Motor (TKM), and Kia India—reported record sales, HMIL’s FY26 sales declined by more than 2 per cent year-on-year (YoY) to 5,84,906 units, down from 5,98,666 units in FY25. In contrast, MSIL’s sales grew by 3.5 per cent YoY, while other major OEMs reported double-digit growth.

According to industry estimates, the overall PV market grew by more than 7 per cent YoY in FY26 to approximately 47 lakh units, up from 43.4 lakh units in the previous fiscal year.

“For Tata Motors Passenger Vehicles, FY26 has been a landmark year marked by multiple milestones. We achieved our highest-ever annual sales volumes of over 6.4 lakh units, delivering industry beating growth of 15 per cent YoY and ended it with strong positive momentum, emerging as the number two ranked player in the industry based on Vahan registrations in the second half (H2),” Shailesh Chandra, MD and CEO, Tata Motors Passenger Vehicles, said.

Meanwhile, Partho Banerjee, Senior Executive Officer, Marketing & Sales at MSIL, noted that while income tax rebates, RBI repo rate cuts, and GST 2.0 continue to drive PV sales, rising commodity prices present a significant headwind. He indicated that automakers, including Maruti Suzuki, will be forced to hike prices, which could impact price-sensitive segments such as small cars.

Top 7 passenger vehicle makers domestic sales performance in FY26