en.Wedoany.com Reported - In May 2026, the Indian auto market achieved robust growth, supported by sustained consumer demand despite global uncertainties and rising oil prices driven by the Iran situation. Domestic passenger vehicle sales surged approximately 28% year-on-year to 440,000 units, compared to a 0.8% decline in the same period last year. The strong performance of two major automakers, Maruti Suzuki and Tata Motors, was the primary driver of this growth.
Maruti Suzuki recorded sales of 190,337 units in May, its highest-ever monthly sales. Partho Banerjee, Senior Executive Officer of Marketing and Sales, stated that the company achieved growth across all segments, from small cars to SUVs. Sales of its Alto and S-Presso small cars more than doubled from 6,776 units to 16,275 units, while multi-purpose vehicle sales rose 44% to 79,267 units. Banerjee noted strong demand for CNG vehicles, with bookings up 40% month-on-month, and electric vehicle bookings also doubled during the same period. He added that demand momentum would continue if the Iran conflict is resolved.
Tata Motors sold 59,090 units in May, up 42% year-on-year, with electric vehicle sales reaching a record high of 10,517 units. Mahindra & Mahindra (M&M) saw sales rise 11% to 58,021 units. Nalinikanth Gollagunta, CEO of its automotive division, stated that demand for the product portfolio remained strong, but labor shortages at some suppliers still posed supply chain challenges.
Tarun Garg, Managing Director and CEO of Hyundai Motor India, said the company continued its strong momentum from the start of the year, with domestic sales reaching 47,837 units in May, up 9.1% year-on-year, and total sales of 61,137 units, up 4.1% year-on-year. Toyota recorded a 4% sales increase to 30,574 units in the month.
The two-wheeler market also performed steadily. Honda Motorcycle & Scooter India sales rose 10% to 459,611 units, while TVS Motor sales increased 24% to 384,565 units. Mid-size motorcycle manufacturer Royal Enfield saw sales grow 24% to 94,115 units. Royal Enfield CEO B Govindarajan stated that despite macro headwinds, the company continued its growth momentum in the first quarter of fiscal year 27.
In the commercial vehicle segment, market leader Tata Motors recorded a 17% sales increase to 32,850 units in May, while Chennai-based Ashok Leyland grew 3% to 14,534 units, and VECV rose 9.1% to 7,375 units. Demand for farm equipment remained healthy, with M&M sales up 23% to 47,845 units. Veejay Nakra, President of its farm equipment division, attributed this high growth to timely harvesting of rabi crops and favorable farmer trade conditions.
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