Automobiles – Monthly Update – Resilient Festive Demand Drive Dispatches
Published on 04 Oct 2026
Auto wholesales kicked off festivities with largely resilient demand in Sep’26 even as the high base started kicking in towards the end of the month. PV remained strong while 2Ws saw mixed growth due to a higher base and supply chain issues. PV inventories rose further to the last reported jump to ~39 days at the end of Aug’26 vs ~34/33/32/29 days at the end of Jul’26/Jun’26/May’26/Apr’26. The CV industry continued to report very strong performance driven by MHCV trucks due to early buying for festivities, government led infrastructure spending and steady freight demand. Tractors saw sharp decline on a strong base and due to delayed festivities, patchy monsoon and relatively lower kharif sowing. However, it grew strongly on MoM basis with coming months to benefit from festive demand, income from crop harvesting and improved rural liquidity. Key monitorables going ahead will be rural sentiments, geopolitical uncertainties, logistics and supply chain issues and the persistent input cost pressures.
