Automakers Maruti Suzuki and Hyundai Motor India reported a double-digit drop in vehicle dispatches in June amid a demand slowdown in the domestic market.
Mahindra & Mahindra saw an increase in dispatches to dealers last month, while Tata Motors witnessed a dip compared to June last year.
The country’s largest carmaker Maruti Suzuki said its total domestic passenger vehicle dispatches to dealers dipped 13% to 1,18,906 units last month compared to 1,37,160 units in the year-ago period.
Sales of mini-segment cars Alto and S-Presso declined to 6,414 units against 9,395 units in the same month last year.
Sales of compact cars, including Baleno, Celerio, Dzire, Ignis, Swift, and WagonR, also fell to 54,177 units from 64,049 units in June 2024.
Utility vehicles Grand Vitara, Brezza, Ertiga, XL6, and Jimny clocked sales of 47,947 units last month compared to 52,373 units earlier.
“The slowdown in passenger vehicle sales is largely due to a sharp decline in the smaller segment cars. Historically, passenger vehicle sales used to grow at 1.5 times the GDP growth. But now, even after 6.5% GDP growth, the car market is nearly flat,” MSI Senior Executive Officer Rahul Bharti said.
“This is because the once mass small car segment is not participating in the growth at all,” he added. “This is clearly an affordability issue,” Mr. Bharti said.
Hyundai Motor India said its dispatches to dealers in the domestic market declined 12% to 44,024 units in June compared to 50,103 units in the year-ago period.
“In the domestic market, the geopolitical situation continued to affect the market sentiment,” Tarun Garg, Whole-time Director and Chief Operating Officer, HMIL, said in a statement.
As the company comes closer to the beginning of production at the Talegaon plant, it remains cautiously optimistic about a gradual recovery of demand, supported by a reduction in repo rates and improving liquidity on account of a cut in CRR, he added.
“We are closely watching the global geopolitical scenario and are committed to delivering value and innovation to our customers across both domestic and export markets,” Mr. Garg said.
Mahindra & Mahindra reported an 18% increase in sales of utility vehicles to 47,306 units in the domestic market last month against 40,022 units a year ago.
“The quarter ended on a very positive note for us, marking the highest quarter ever for SUVs,” Nalinikanth Gollagunta, Mahindra & Mahindra (M&M) CEO – Automotive Division, said.
Tata Motors said its passenger vehicle sales, including EVs, in the domestic market, were down 15% to 37,083 units compared to 43,524 units in the year-ago month.
“Looking ahead, while overall industry growth is expected to remain subdued, Tata Motors is well positioned to leverage its new launches to outperform across segments, including hatchbacks and SUVs, while continuing to build on the EV momentum,” Tata Motors Passenger Vehicles MD Shailesh Chandra said.
Toyota Kirloskar Motor on Tuesday (July 1, 2025) said its sales increased 5% year-on-year to 28,869 units in June.
The automaker dispatched 27,474 units in June 2024.
JSW MG Motor India reported monthly sales of 5,829 units in June, registering a 21% year-on-year growth.
In the two-wheeler space, Bajaj Auto said its total domestic sales, including commercial vehicles, fell 13% to 1,88,460 units last month compared to 2,16,451 units a year ago.
Royal Enfield said its domestic sales increased 16% to 76,957 units last month against 66,117 units in June 2024.
TVS Motor Company’s two-wheeler sales in the domestic market witnessed a 10% year-on-year growth to 2,81,012 units in June.
Published – July 01, 2025 11:30 pm IST
