Passenger vehicle retail sales shot up 35 per cent year-on-year during the nine-day Navratri period this year, helping the overall registrations last month grow 6 per cent as offtakes remained muted in the first 21 days of the month and only took off after the roll-out of new GST rates on September 22, dealers’ body the Federation of Automobile Dealers Associations (FADA) said on Tuesday.
Overall passenger vehicle retails in the auspicious period stood at 2,17,744 units as compared with 1,61,443 units in the Navratri period last year. The bumper sale led to passenger vehicle retail sales rise to 2,99,369 units in September, a modest growth of 6 per cent as against 2,82,945 units in the same month last year, as customers eyeing price cuts after new GST rate roll-out post September 22 postponed purchases in the first half of the month.
"September 2025 was an exceptionally unique month for India's automobile retail industry. The first three weeks were largely muted with customers holding back in anticipation of the GST 2.0 reforms. However, the dynamics changed dramatically in the final week as Navratri festivities coincided with the implementation of lower GST rates, reviving customer sentiment and accelerating deliveries across most vehicle categories," FADA Vice President Sai Giridhar said in a statement.
As a result, the month ended with an overall 5 per cent year on year (YoY) growth, with all segments -- except three-wheelers and construction equipment --showing positive momentum, he said. The Navratri period witnessed record-breaking footfalls at dealerships and subsequent deliveries, he noted.
The reduction in GST rates, coupled with festive demand, led to renewed enquiries and bookings, although limited billing days restricted the full potential of the rebound, FADA said. The momentum built in the closing days of September will carry forward into Deepawali, marking a promising end to the 42-day festive period, it said.
Two-wheeler retail sales last month stood at 12,87,735 units, an increase of 7 per cent year-on-year against 12,08,996 units in September 2024. In the Navratri period, sales grew 36 per cent to 8,35,364 units as compared with 6,14,460 units in the same period last year.
Two-wheeler retails were powered by affordability improvements, festive offers and pent-up demand finally translating into retail joy, FADA stated.
Three-wheeler retail sales last month stood at 98,866 units, a dip of 7 per cent as compared with 1,06,534 units in September last year. Navratri period saw retails of 46,204 units, a jump of 25 per cent as against 37,097 units in the year-ago period.
Commercial vehicle sales rose 3 per cent to 72,124 units last month as against 70,254 units in the same month last year. The segment sales during the Navratri period saw a jump of 15 per cent year-on-year to 33,856 units.
FADA noted that India stands at the cusp of what promises to be its most spectacular 42-day festive season in history. With GST 2.0 rate cuts transforming affordability and confidence across every income segment, the nation's auto retail sector has entered an unprecedented growth phase, it added.
Also read: Passenger vehicle sales may jump 1-4 pc this fiscal: ICRA