Summary:
India's passenger vehicle registrations declined 14.6% year-on-year to 5,01,406 units in October 2026. However, electric vehicle registrations surged 74.7% to 36,646 units, lifting EV market share to 7.3% despite the broader automobile market slowdown.
India’s passenger vehicle market contracted 14.6% year-on-year (YoY) in October 2026, with registrations dropping to 5,01,406 units from 5,87,103 units in October 2025. However, registrations of electric vehicles (EV) jumped 74.7%, indicating a change in consumer demand.
“The festive season in November will be important to see if the fall in October was a blip or indicative of weaker demand.”
October Passenger Vehicle Registrations Down 14.6%
Passenger vehicle registrations in India were 85,697 units lower in October compared to the same month last year, data from JATO Dynamics showed.
Most large carmakers reported declines in registrations.
Maruti Suzuki India (NSE: MARUTI, BSE: 532500) reported a drop of 15.2% YoY at 2,11,529 units and Hyundai Motor India (NSE: HYUNDAI, BSE: 544274) reported a fall of 16.6% at 57,915 units.
Tata Motors Passenger Vehicles (NSE: TMPV, BSE: 500570) did relatively better with registrations down 8.8 per cent at 72,253 units. Mahindra & Mahindra (NSE: M&M, BSE: 500520) was down 12.6% at 64,063 units.
| Manufacturer | YoY Change, Oct 2026 |
| Maruti Suzuki | -15.2% |
| Hyundai Motor India | -16.6% |
| Kia India | -13.4% |
| Tata Motors Passenger Vehicles | -8.8% |
| Mahindra & Mahindra | -12.6% |
| MG Motor India | +4.3% |
| Nissan | +23.0% |
The figures showed that the slowdown affected manufacturers in different ways.
EV Registrations Jump 74.7% Amid Overall Market Slide
Registrations of conventional vehicles fell, but electric vehicles grew strongly.
EV registrations jumped from 20,979 units in Oct 2025 to 36,646 units in Oct 2026, registering a YoY growth of 74.7%.
Meanwhile, registrations of internal combustion engine (ICE) vehicles fell 17.9% to 4,64,760 units.
The EV market share almost doubled to 7.3% from 3.6% a year earlier.
EV registrations for Tata Motors jumped 76.3% to 14,560 units. Mahindra’s EV registrations grew 84.2% to 8,473 units.
In October, electric models accounted for around 20.2% of Tata Motors’ registrations and 13.2% of Mahindra’s registrations.
This allowed both companies to weather the decline in demand for conventional vehicles.
Why did car registrations fall in October?
A change in the festive calendar was one key factor.
Diwali will be November 8, 2026, versus October in 2025. This means some vehicle bookings, deliveries and registrations may have been postponed from October to November.
Affordability is also important. Higher vehicle prices, equated monthly instalments (EMIs), insurance and maintenance costs might impact buying decisions.
Interestingly, passenger vehicle wholesale dispatches grew 12.4% YoY to 5,28,384 units in October despite a decline in registrations.
The gap indicates manufacturers were still shipping cars to dealers ahead of holiday demand, with retail registrations still lower than last year’s levels.
Why Are Auto Stocks Rising Despite Fewer Registrations?
Indian auto stocks rose on November 2 even as retail registrations declined.
The Nifty Auto index gained 1.33%, helped by strong sales in October reported by manufacturers and hopes for festive demand.
Stocks of Maruti Suzuki and Tata Motors Passenger Vehicles were some of the contributors to the sector’s gains.
But the October wholesale expansion and retail enrollment contraction paint different pictures of demand.
November registrations will give a clearer picture of whether festive purchases can make up for the dip in October.
Continued growth in EV registrations is an important trend, with manufacturers expanding electric vehicle offerings and consumers weighing alternative powertrains.
