In pics: Car sales in India slump in June, SUVs contonue to buck the trend
The Indian passenger vehicle market has witnessed continued drop of small car sales, while SUVs continued to witnessed rising demand.

The Indian PV market witnessed a mixed sales performance in June 2025, with three of the top four OEMs, including Maruti Suzuki, Hyundai and Tata Motors recording sales slump amid weak consumer sentiment. The automakers have blamed it to the geopolitical crisis, Weighed down by a slowdown in retail demand, car manufacturers reduced passenger vehicle supplies to the auto dealers in June. This resulted in a seven per cent year-on-year (YoY) decline in wholesale dispatch numbers. Seven of the country's largest car manufacturers, cumulatively accounting for 95 per cent of the domestic PV market, dispatched 300,226 units to their dealer networks last month.

The Indian PV market witnessed a mixed sales performance in June 2025, with three of the top four OEMs, including Maruti Suzuki, Hyundai and Tata Motors recording sales slump amid weak consumer sentiment. The automakers have blamed it to the geopolitical crisis, Weighed down by a slowdown in retail demand, car manufacturers reduced passenger vehicle supplies to the auto dealers in June. This resulted in a seven per cent year-on-year (YoY) decline in wholesale dispatch numbers. Seven of the country's largest car manufacturers, cumulatively accounting for 95 per cent of the domestic PV market, dispatched 300,226 units to their dealer networks last month.

The small car sales continued to see a lacklustre performance last month, while SUVs bucked the trend of declining sales. Since 2019, the Indian PV industry’s entry-level price point has increased by more than 70 per cent, which was largely driven by stricter safety and emission regulations. Over the same period, sales of small cars have dropped by more than 70 per cent. This has directly impacted the carmakers such as Maruti Suzuki, Hyundai and Tata Motors adversely.

The small car sales continued to see a lacklustre performance last month, while SUVs bucked the trend of declining sales. Since 2019, the Indian PV industry’s entry-level price point has increased by more than 70 per cent, which was largely driven by stricter safety and emission regulations. Over the same period, sales of small cars have dropped by more than 70 per cent. This has directly impacted the carmakers such as Maruti Suzuki, Hyundai and Tata Motors adversely.

Maruti Suzuki registered its weakest domestic monthly sales in more than 18 months. The OEM that has the largest pool of small cars saw a 13 per cent YoY drop in wholesale volumes in June 2025, down to 118,906 units compared to 137,160 units sold in June last year. Small cars like Alto K10 and S-Presso saw sales plummet to 6,414 units from 9,395 units. On the other hand, sales of compact models like Baleno, Celerio, WagonR, Swift, Ignis, and Dzire declined to 54,177 units from 64,049 units. Sales of the brand's utility vehicles, including Grand Vitara, Brezza, and Jimny, dropped to 47,947 units from 52,373 units, despite high demand for SUVs.

Maruti Suzuki registered its weakest domestic monthly sales in more than 18 months. The OEM that has the largest pool of small cars saw a 13 per cent YoY drop in wholesale volumes in June 2025, down to 118,906 units compared to 137,160 units sold in June last year. Small cars like Alto K10 and S-Presso saw sales plummet to 6,414 units from 9,395 units. On the other hand, sales of compact models like Baleno, Celerio, WagonR, Swift, Ignis, and Dzire declined to 54,177 units from 64,049 units. Sales of the brand's utility vehicles, including Grand Vitara, Brezza, and Jimny, dropped to 47,947 units from 52,373 units, despite high demand for SUVs.
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Hyundai reported a 12 per cent drop in wholesale numbers last month, with 44,024 units sold as compared to 50,103 units recorded in June 2024. Hyundai has blamed this on the geopolitical crisis and low consumer sentiment as key factors and anticipates recovery with lower repo rates, improving liquidity and the Talegaon plant production. However, Hyundai Creta retained the crown of highest selling passenger vehicle for the third consecutive time in June 2025.

Hyundai reported a 12 per cent drop in wholesale numbers last month, with 44,024 units sold as compared to 50,103 units recorded in June 2024. Hyundai has blamed this on the geopolitical crisis and low consumer sentiment as key factors and anticipates recovery with lower repo rates, improving liquidity and the Talegaon plant production. However, Hyundai Creta retained the crown of highest selling passenger vehicle for the third consecutive time in June 2025.

Tata Motors too posted a steep decline last month, with its wholesale volume slumping 15 per cent YoY to 37,083 units, including electric vehicles. While demand for its ICE-powered models came under pressure, the homegrown auto company noted continued strength in its EV portfolio, where it sells models like Tiago EV, Tigor EV, Punch EV, Nexon EV, Curvv EV, and recently introduced Harrier EV.

Tata Motors too posted a steep decline last month, with its wholesale volume slumping 15 per cent YoY to 37,083 units, including electric vehicles. While demand for its ICE-powered models came under pressure, the homegrown auto company noted continued strength in its EV portfolio, where it sells models like Tiago EV, Tigor EV, Punch EV, Nexon EV, Curvv EV, and recently introduced Harrier EV.

Kia recorded a three per cent YoY sales slump at 20,625 units in June 2025. The South Korean car manufacturer under the Hyundai group sells popular cars like Sonet, Seltos, Carens and Carens Clavis, among others. The car manufacturer has a presence in the Indian electric car market as well.

Kia recorded a three per cent YoY sales slump at 20,625 units in June 2025. The South Korean car manufacturer under the Hyundai group sells popular cars like Sonet, Seltos, Carens and Carens Clavis, among others. The car manufacturer has a presence in the Indian electric car market as well.

Honda Cars India too reported a 22 per cent sales slump with 5,124 units in June 2025, comprising 4,618 units sold in the domestic market and 506 units exported. Domestic sales of the company dropped by 3.9 per cent, while exports saw a slump of 89.8 per cent YoY. The Japanese car manufacturer sells popular models like the Amaze, City, and Elevate.

Honda Cars India too reported a 22 per cent sales slump with 5,124 units in June 2025, comprising 4,618 units sold in the domestic market and 506 units exported. Domestic sales of the company dropped by 3.9 per cent, while exports saw a slump of 89.8 per cent YoY. The Japanese car manufacturer sells popular models like the Amaze, City, and Elevate.

Mahinda is the only car manufacturer among the top four in the Indian passenger vehicle market that reported growth last month. The homegrown auto giant retained its second position in the sales chart last month. The automaker registered an 18 per cent YoY wholesale growth, ending the last month with 47,306 units. The OEM sells some of the popular SUVs like Thar, XUV 3XO, XUV700, Scorpio N, Bolero Neo, Scorpio Classic, Thar Roxx, etc.

Mahinda is the only car manufacturer among the top four in the Indian passenger vehicle market that reported growth last month. The homegrown auto giant retained its second position in the sales chart last month. The automaker registered an 18 per cent YoY wholesale growth, ending the last month with 47,306 units. The OEM sells some of the popular SUVs like Thar, XUV 3XO, XUV700, Scorpio N, Bolero Neo, Scorpio Classic, Thar Roxx, etc.

Toyota Kirloskar Motor too was able to buck the trend slightly. The Japanese car manufacturer registered a modest three per cent YoY increase in June wholesales with 26,453 units. The carmaker sells popular models like the Innova Crysta, Fortuner, among others.

Toyota Kirloskar Motor too was able to buck the trend slightly. The Japanese car manufacturer registered a modest three per cent YoY increase in June wholesales with 26,453 units. The carmaker sells popular models like the Innova Crysta, Fortuner, among others.

JSW MG Motor India charted a 21 per cent YoY sales growth in June sales numbers, with 5,829 units sold. The automaker sells models like the Hector, ZS EV, Comet, Gloster, etc. However, since the launch of the Windsor EV, MG has been witnessing continuous growth in its passenger vehicle sales.

JSW MG Motor India charted a 21 per cent YoY sales growth in June sales numbers, with 5,829 units sold. The automaker sells models like the Hector, ZS EV, Comet, Gloster, etc. However, since the launch of the Windsor EV, MG has been witnessing continuous growth in its passenger vehicle sales.
First Published Date: 03 Jul 2025, 14:10 pm IST
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