The latest data released by the Society of Indian Automobile Manufacturers (SIAM) show that the Indian automotive industry wrapped up FY 2024-25 with a solid performance, driven by resilient domestic demand, an uptick in exports, and a renewed push toward green mobility.

While the pace of growth varied across segments, the industry overall clocked a healthy 7.3 percent increase in domestic sales, reinforcing its steady recovery trajectory in a post-pandemic economy.

The passenger vehicles segment posted its highest-ever annual sales, breaching the 4.3 million mark – a 2 percent rise over the previous year. Although the high base of FY 2023–24 tempered the growth rate, the segment continued to impress with its scale.

SUVs emerged as the dominant sub-segment, accounting for 65 percent of total PV sales, up from 60 percent last year.

The market responded enthusiastically to new launches and customer demand towards higher ground clearance models. It is also important to note that discounts and promotions kept demand buoyant.

On the exports front, a record 770,000 units were shipped, up 14.6 percent, fuelled by demand from Latin America, Africa and emerging interest from developed markets.

India’s ubiquitous two-wheelers rebounded strongly with 19.6 million units sold, marking a 9.1 percent growth over the previous year. The scooter category led the charge, boosted by improved rural and semi-urban road connectivity.

EV penetration crossed 6 percent, reflecting a growing preference for sustainable options.

Two-wheeler exports rose by 21.4 percent, supported by macroeconomic stability in Africa and expansion into Latin American markets.

The three-wheeler segment on the other hand scaled new highs with 741,420 units sold, a 6.7 percent growth over FY 2023–24. Urban and semi-urban demand for last-mile transport, especially electric models seem to have played a key role.

The commercial vehicles segment posted a slight 1.2 percent decline in annual sales, though Q4 offered a glimmer of hope with a 1.5 percent uptick. Light CVs struggled, while Medium & Heavy CVs (M&HCVs) remained steady. Infrastructure development spurred demand for buses and higher-GVW trucks.

CV exports jumped by 23 percent, indicating global recovery in freight mobility.

In terms of EV sales, the country saw 1.97 million green vehicles sold, up 16.9 percent, with electric two-wheelers seeing a 21.2 percent rise in registrations.

Looking Ahead: Optimism with Caution

The industry body stated that going forward leaders are cautiously optimistic about FY 2025–26. Normal monsoon forecasts are expected to aid rural demand. Recent personal income tax reforms and RBI rate cuts could boost vehicle financing and overall consumer sentiment. Continued export momentum, especially in Africa and neighbouring regions, will offer strategic resilience.

But on the other hand, challenges loom in the form of global geopolitical tensions and evolving supply chain dynamics.

Shailesh Chandra, President, SIAM, said, “The Indian automobile industry continued its steady performance in FY2024–25, driven by healthy demand, infrastructure investments, supportive government policies and continued emphasis on sustainable mobility. Passenger vehicles, two-wheelers and three-wheelers grew in FY2024-25 compared to FY2023-24, but growth rates have been varied across segments. Passenger vehicles and three-wheelers witnessed a moderate growth on account of the high base effect but saw the highest-ever sales in these categories, while the two-wheeler segment registered strong growth in FY2024-25. However, commercial vehicles witnessed a slight degrowth in the FY2024-25, though performance in recent months has been comparatively better. On the exports front, good recovery is seen across all segments, particularly passenger vehicles and two-wheelers reflecting improved global demand and India's growing competitiveness. In FY2024-25, the government of India introduced the PM E DRIVE scheme and PM e-Sewa schemes which underscores the firm commitment of the Government towards promoting sustainable mobility. Looking ahead, the backdrop of stable policy environment, along with recent measures such as reforms in personal income tax and RBI’s rate cuts, will help in supporting consumer confidence and demand across segments.

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Epsilon Carbon Pvt. Ltd. has announced the appointment of Munish Kumar Rathi as its new President and Business Head for Carbon Black.

With more than 25 years of extensive global leadership experience, Rathi brings a strong background in profit and loss management, multi-site manufacturing leadership, strategic planning and business transformation. His career is marked by a demonstrated ability to drive operational excellence and foster sustainable growth across various international markets.

The company is anticipating that his leadership will play a key role as Epsilon Carbon continues to expand its global footprint and accelerate innovation within the carbon black business segment. The organisation has formally welcomed Rathi to the team, expressing confidence in his capacity to guide future strategic initiatives. This move underscores Epsilon Carbon’s commitment to strengthening its leadership team in pursuit of long-term global competitiveness.

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TVS Srichakra has approved capital investment of up to INR 2.2 billion to expand production capacity at its manufacturing facilities in Vellaripatti, Madurai.

The expansion will cover the company’s two-wheeler tyre and off-highway tyre plants, with investment of up to INR 1.1 billion allocated to each facility.

TVS Srichakra said the two-wheeler tyre plant currently has capacity of about 21 million to 23.5  million tyres a year and operates at utilisation levels of around 80 to 85 percent. The company plans to add about 5 percent capacity, with completion targeted in the first half of FY2028-29.

The off-highway tyre plant has existing capacity of about 75 to 85 metric tonnes a year and operates at utilisation levels of 75 to 80 percent. TVS Srichakra plans to increase capacity at the plant by about 25 percent, with the addition scheduled for the first half of FY2027-28.

The company said the investment would be financed through a combination of internal accruals and debt.

TVS Srichakra said the expansion is intended to meet growing demand for its two- and three-wheeler tyres and off-highway tyre products.

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JK Tyre & Industries reported record consolidated revenue of INR 163.84 billion for FY26, registering an 11 percent year-on-year increase, supported by strong domestic demand and volume growth across key tyre segments.

The company’s consolidated EBITDA rose 25 percent to INR 20.89 billion, with EBITDA margin improving to 12.8 percent.

Profit before tax increased 46 percent to INR 10.43 billion, while profit after tax climbed 52 percent to INR 8.60 billion during FY26.

For the fourth quarter, consolidated revenue rose 12 percent year-on-year to INR 42.33 billion.

Quarterly EBITDA surged 42 percent to INR 5.46 billion, with margin at 12.9 percent, while Q4 PAT nearly doubled, rising 94 percent to INR 1.99 billion.

Chairman and Managing Director Dr Raghupati Singhania described FY26 as a year of robust performance, highlighting record volumes in both truck and bus radial and passenger car radial categories.

Domestic sales volumes during Q4 grew 21 percent overall. Truck and bus radial replacement volumes increased 53 per cent, while OEM demand in the segment rose 23 percent. Passenger car radial replacement volumes were up 26 percent and OEM demand increased 10 percent.

The company said growth momentum was expected to continue into FY27, supported by new vehicle launches, infrastructure development and sustained replacement demand.

JK Tyre also highlighted strong traction in electric mobility. More than 70 per cent of electric buses operating in India currently run on its tyres, while the company supplies EV tyres to nearly eight two-wheeler OEMs and has secured orders for electric passenger vehicle models including Renault Duster EV, Hyundai Creta EV and Tata Motors’ Nexon and Punch EV variants.

Its Mexico business, operated through JK Tornel, contributed nearly 20 per cent of consolidated revenue and is expected to maintain growth across Mexican, Latin American and US markets.

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The U.S. Tire Manufacturers Association (USTMA) has elected David Cichocki, Managing Director, Americas, and chief sales officer, Americas Consumer, at The Goodyear Tire & Rubber Company, to its board of directors.

“I’m pleased to welcome David to our Board. His extensive experience and expertise across the tire and consumer goods industries will be invaluable as we navigate today’s complex industry,” said Anne Forristall Luke, USTMA president and chief executive. “His proven leadership will strengthen our ability to seize emerging opportunities.”

Cichocki joined Goodyear in early 2026 and is responsible for overseeing the Americas region and leading the company’s Americas Consumer sales business.

He brings more than 30 years of leadership experience across industrial and consumer goods companies to the USTMA board.

Before joining Goodyear, Cichocki served as senior vice-president of US sales at Whirlpool, where he managed a portfolio valued at more than $10bn across retail and direct-to-consumer channels.

He also spent more than 20 years at Kraft Foods and Nabisco in a range of senior leadership roles.

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