Particle.news
Download on the App Store
20 ARTICLES
·
2h ago

GST 2.0 Fuels Navratri Auto Surge as September Retail Rises 5%

Buyers accelerated purchases once lower tax rates kicked in during Navratri, lifting showroom traffic and deliveries even as some analysts warn the spike reflects deferred demand.

Image
Image
Car Retail Sales Sept 2025
Image

Overview

  • FADA data show vehicle registrations during the Sept. 22–Oct. 2 Navratri window jumped about 34% year over year to 11,56,935 units, with passenger vehicles up ~35% to 2,17,744 and two‑wheelers up ~36% to 8,35,364.
  • For the full month, September retail registrations rose 5.22% year on year to 18,27,337 units, including 2,99,369 passenger vehicles (+5.8%) and 12,87,735 two‑wheelers (+6.5%), while three‑wheelers fell 7.2%.
  • The new GST 2.0 rates took effect on Sept. 22 and were credited by the dealers’ body with reviving enquiries and bookings after a muted first three weeks of the month.
  • Dealers reported rebuilding stock to roughly 60 days of passenger vehicle inventory and said they are positioned for Dhanteras and Diwali, contingent on smooth logistics and supply.
  • EV penetration increased in September, with electric models accounting for about 5.1% of passenger vehicles, 8.1% of two‑wheelers, and 61.7% of three‑wheelers, according to FADA.