The automobile retail sales have recorded the best-ever May in overall registrations including passenger vehicles (PVs), two-wheelers (2Ws) and three-wheelers (3Ws), the Federation of Automobile Dealers Associations (FADA) said on Monday.
The PV retail sales in May grew by 23.25 per cent year-on-year (y-o-y) to 4,02,591 units as compared with 3,26,656 units in the corresponding month last year, FADA said in its monthly sales report.
Similarly, the 2W sales grew by 7.54 per cent y-o-y to 18,44,947 units during the month as compared with 17,15,581 units in the same month last year.
The 3W segment grew by 3.56 per cent y-o-y 1,11,526 units in May as against 1,07,688 units in the corresponding month last year.
Commercial vehicle (CV) sales grew by 5.29 per cent y-o-y to 83,823 units last month as compared with 79,614 units in May 2025.
The grand total of all vehicles across categories grew by 9.55 per cent y-o-y to 25,31,067 units in May as compared with 23,10,451 units in the same month last year.
“As anticipated in our April 2026 release, the watch-outs we had flagged — an above-normal heatwave, fuel-price pressure and the evolving West Asia situation — did come into play during May 2026, and yet Indian auto retail has held its growth trajectory with May 2026 registering the best ever May across 3W, PV, Tractors and overall registrations,” C S Vigneshwar, President, FADA, said.
Looking ahead to June, dealer sentiment is measured, with 50.52 per cent of dealers expecting growth, 39.90 per cent anticipating a flat market and only 9.59 per cent foreseeing a decline, he noted.
“With the South-West monsoon having set in over Kerala on June 4, and beginning its northward advance, demand expectations are anchored in the progress of the monsoon, early Kharif sowing preparation and the tail of the marriage season, supported by a stable financing environment after the Reserve Bank of India held the repo rate at 5.25 per cent in its June review,” Vigneshwar added.