Passenger vehicle sales hit record February high, surge 10.6% to 4.18 lakh units: SIAM

India’s passenger vehicle (PV) market maintained its growth trajectory in February 2026, with domestic sales rising 10.6% year-on-year to 4,17,705 units, marking the highest-ever sales for the month of February, according to data released by the Society of Indian Automobile Manufacturers (SIAM).

The steady expansion of the PV segment reflects resilient consumer demand, particularly for utility vehicles, even as the broader automotive industry continues to monitor global geopolitical developments that could impact supply chains.

Commenting on the industry’s performance, Rajesh Menon, Director General, SIAM, stated that the sector has entered 2026 on a strong footing. “Positive sentiments in the industry continue as passenger vehicles, two-wheelers and three-wheelers posted their highest ever sales of February in 2026, with double digit growth compared to February 2025. About 4.18 lakh units of Passenger Vehicles were sold in February 2026,” he said.

Utility vehicles continue to drive growth

Within the PV segment, utility vehicles remained the principal growth engine, with domestic sales rising 13.5% year-on-year to 236,957 units in February. Passenger car sales, however, saw a slight decline, falling 3.8% to 106,799 units, while van sales were broadly stable at 11,620 units during the month.

The continued shift toward SUVs and utility vehicles has been a defining trend in India’s passenger vehicle market over the past few years, with buyers increasingly opting for larger vehicles offering higher ground clearance, improved features and greater versatility. Furthermore, there are a handful of midsize SUV rollouts over the last few quarters.

Auto industry records broad-based growth

The broader automobile industry also reported strong performance during the month. Two-wheeler domestic sales grew 35.2% year-on-year to 18,71,406 units, supported by robust demand for scooters and motorcycles. Meanwhile, three-wheeler sales rose 29% to 74,573 units, reflecting improving demand in both passenger and goods carrier segments.

Taken together, overall domestic vehicle sales across segments crossed 23.6 lakh units in February 2026, highlighting the sustained recovery and expansion of India’s automotive market.

At the same time, SIAM noted that the ongoing geopolitical tensions in West Asia remain an area of concern, as any disruption in shipping routes or supply chains could affect manufacturing operations and exports in the months ahead.

With March typically witnessing festive-led buying in several parts of the country, industry stakeholders will be watching closely to see whether the momentum in passenger vehicle demand carries into the final month of the fiscal year.