India's automobile retail sector recorded its best-ever April in 2026, with sales growing 13% year-on-year, according to data from the Federation of Automobile Dealers Associations (FADA). The strong performance marks a positive start to the financial year 2026-27.
Passenger vehicle sales led the growth, rising 15% compared to April 2025, driven by robust demand for SUVs and utility vehicles. Two-wheeler sales also saw a significant uptick of 12%, supported by rural demand and new model launches.
FADA attributed the record sales to improved vehicle availability, festive sentiment, and attractive financing options. However, dealers noted that inventory levels remain a concern, with some segments facing oversupply.
The commercial vehicle segment grew 8%, while three-wheeler sales increased 10%. Tractor sales remained flat due to uneven monsoon forecasts. Overall, the industry sold over 2.1 million vehicles in April 2026, the highest ever for the month.
