
A combination of policy reforms, a 42-day festive season, and a resurgence in rural demand propelled India’s auto retail sales to a record 4.02 million units in October 2025, a 40.5% increase from 2.87 million units in October 2024, according to the Federation of Automobile Dealers Associations (FADA).
Passenger vehicle (PV) sales crossed the 5-lakh milestone, closing at 5.57 lakh units, up 11% from 5 lakh units a year ago. Two-wheelers also hit an all-time monthly high of 3.15 million units, marking a 52% jump from 2.1 million in October 2024.
Among passenger vehicle makers:
FADA President C. S. Vigneshwar highlighted the pivotal role of GST 2.0 in driving demand. “The implementation of GST 2.0 has been transformational. Reduced GST rates for small cars have made vehicle ownership more accessible, particularly for first-time buyers,” he said.
He added that the combination of improved affordability and the extended festive period converted optimism into actual purchases. Dealers also benefited as passenger vehicle inventory levels eased by 5–7 days, stabilizing at 53–55 days, indicating better supply-demand alignment.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Nov 7, 2025, 12:45 PM IST

Sachin Gupta
Sachin Gupta is a Content Writer with 6+ years of experience in the stock market, including global markets like the US, Canada, and Australia. At Angel One, Sachin specialises in creating financial content that simplifies complex market trends. Sachin holds a Master's in Commerce, specialising in Economics.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates