Auto Industry Boom: India Records Highest-Ever Auto Sales in January 2026

Published: Friday, February 13, 2026, 18:06 [IST]

January 2026 recorded the highest-ever automobile sales in India, across passenger vehicles, two-wheelers, and three-wheelers. Compared to the same period last year, the industry posted strong double-digit growth, reflecting a strong sales momentum. The implementation of GST 2.0 has been the key factor driving these impressive sales figures.

January 2026 Auto Sales In India

A total of 4,49,616 passenger vehicles were sold in January 2026, reflecting a 12.6% growth compared to 3,99,386 units sold during the same month last year. Sales of three-wheelers and commercial carriers also saw significant improvement, registering 30.2% growth with a total of 75,725 units, compared to 58,167 units in January 2025.

In the two-wheeler segment, sales rose sharply, with motorcycles reaching 11,26,416 units compared to 9,36,145 units in 2025. Scooter sales also increased notably to 7,50,580 units, up from 5,48,201 units in January 2025. Overall, the two-wheeler segment recorded a 26.2% growth in January 2026 compared with the previous year.

Category	Jan 2026	Jan 2025	Growth
Passenger Vehicles	4,49,616 units	3,99,386 units	12.6%
Three wheelers	75,725 units	58,167 units	30.2%
Motorcycles	11,26,416 units	9,36,145 units	20.3%
Scooter	7,50,580 units	5,48,201 units	36.9%

These strong sales figures indicate positive momentum for the Indian automobile market. Last year, the government introduced GST 2.0 norms, reducing tax rates during the festive season. This move significantly boosted sales starting from October, and the momentum has carried into the new year 2026.

SIAM Director Rajesh Menon said, "The new year has begun on a positive note, extending the strong momentum seen in the previous quarter, supported by sustained demand following the GST rate reduction. The initiatives announced in the Union Budget 2026 to strengthen India's manufacturing base, along with existing policy tailwinds, are expected to deliver long-term benefits for the sector and support growth in the medium term."

Additionally, the Union Budget 2026 is expected to provide further policy support to the automotive sector by strengthening EV supply chains and promoting localisation of battery manufacturing and components. These initiatives could help reduce costs, improve affordability, and drive future growth in vehicle sales.