Festive demand, tax -reducing power sales in September

Copyright © HT Digital Streams Limit all rights reserved. Ayaan Kartik 4 min Read 02 Oct 2025, 05:30 is the sales of retail cars in general with 10%, with Tata Motors seeing the highest sales growth of 45%. (Bloomberg) Summary Maruti Suzuki, Tata Motors, Mahindra and TVs car credited festive buying and reduced the tax rates as excellent reasons for the resurgence of the sale. For most small cars, GST was cut from 28% to 18%, and from 45-50% to a flat 40% for large SUVs last month. In September, car sales are powered by tax cuts and festive drinks, which manufacturers generally cheered. Tata Motors Ltd, Mahindra and Mahindra Ltd and Maruti Suzuki India Ltd reported their best monthly numbers, while Hyundai’s top selling SUV Creta saw the highest monthly sales. Two-wheel makers Bajaj Auto Ltd and Hero Motocorp Ltd had only 5% annual growth in domestic sales, while TVS Motor Co. had a jump of 12%. Retail car sales increased broadly by 10%, with Tata Motors seeing the highest growth of 45%. However, Mahindra and Maruti also highlighted problems due to the limited availability of trailers to send cars from factories to dealers. As a result of logistical restrictions, Maruti saw its wholesale shedages fall by 8% to 135.711. Maruti Suzuki, Tata Motors, Mahindra and TVS car credited festive buying and reduced the tax rates as the main reasons for the resurgence of the sale. For most small cars, taxes on goods and services (GST) were cut from 28% to 18%, and from 45-50% to a flat 40% for large SUVs after the GST council approved the tax cut last month. While both TATA and Mahindra saw a boom in wholesale shipping with their best monthly sales at 59,667 and 56.233, Maruti recorded its best retail sales of 173,500 cars, 27.5% higher than a year earlier. Hyundai’s wholesale sales in India dampened at 51,547, with only 1% growth compared to sales in September. However, top selling SUV Creta recorded the highest monthly sales of 18,861 units. “The combination of the festive spirit and the new GST benefits have led to a sharp increase in discussions and inquiries. Showrooms and merchant footfalls more than doubled compared to the festive season last year,” Hero Motocorp said. “The GST cut has led to a good festive season. We are working all the time to secure the availability of our cars. Our stock has come off about a month now,” said Maruti Suzuki marketing head Paro Banerjee. Tata Motors managing director and CEO Shailesh Chandra said the GST cut and the festive season together helped the car manufacturer beat both Hyundai and Mahindra to become the second largest car manufacturer this year. All three are included in an intense competition for the second position. “About our portfolio, the interest of customers remained extremely strong with new discussions that doubled in the latter half of September after reducing the GST tariffs,” Chandra said about the sales performance of the company, which grows sales by 45% to 59,667 units. Mahindra and Mahindra also had a 10% increase in sales to 56,233 units during September. However, it marked the logistical issue as an important problem. Nalinikanth Gollagunta, CEO of the Motor Division at M&M, said: “The boom in festive demand has placed significant restrictions on the availability of trailers. We work to improve the shipping to our dealer network within the limitations. The tax in his speech on the Independence Day. Tax cuts. This revival will take a short time before the numbers temper. However, we can see good base growth in the upcoming neighborhoods, “Sharma said. The Nifty Auto index rose 0.85% on Wednesday, compared to a 0.92% increase in Nifty. Tata Motors shares increased by 5.6%, while Maruti shares fell by 0.37%. 0.23% and Mahindra achieved 1.21%. Equitions in a note said on September 29.