Auto News
Urgency grows in Motown India as rare earth deadlock deepens, call goes out to govt for help
The Indian automobile sector is urging the government to facilitate quicker approvals from China for importing rare earth magnets crucial for various applications, especially in electric vehicles (EVs). With China controlling a significant portion of the global supply, the recent export restrictions are causing disruptions in production and could lead to increased costs for manufacturers.
Maruti Suzuki, Hyundai bullish on growth in export volumes in FY26
Maruti Suzuki and Hyundai Motor India anticipate export growth in FY26 despite domestic market challenges. Hyundai aims for a single-digit export volume increase, targeting emerging markets and aspires to be Hyundai's largest export hub outside South Korea. Maruti Suzuki projects a 20% export volume surge, driven by diversified markets and new models like Fronx and Jimny, aiming to sell 4 lakh units.
7-seater models riding high on boost from Indian families
Indians increasingly prefer vehicles with more seating. Seven-seaters are becoming the default choice for SUVs and MPVs. Data shows a significant rise in seven-seater SUV sales. Even nuclear families opt for these vehicles for flexibility. Young buyers are also choosing MPVs.
Vehicle registrations rise 5% in May, driven by demand for two-wheelers, three-wheelers & tractors
Vehicle registrations in India saw a 5% rise in May, reaching 2.21 million units. Two-wheeler, three-wheeler, and tractor sales drove this growth. However, passenger and commercial vehicle registrations experienced a decline. The increase is attributed to auspicious events and a strong harvest. Financing availability and geopolitical tensions remain concerns. Future monsoon and potential rate cuts may further boost demand.
RBI rate cut to positively impact automobiles sector
The Reserve Bank of India's decision to cut the policy rate by 50 basis points is expected to positively impact the automobile sector by making loans cheaper. Industry bodies like SIAM and ACMA believe this move will stimulate demand, lower borrowing costs, and ease working capital pressures, especially for MSMEs.
Passenger vehicle retail sales dip 3% in May as demand softens
Passenger vehicle retail sales in India experienced a 3% decline in May due to customer purchase delays amid geopolitical tensions and softening demand for entry-level models. Two-wheeler sales rose by 7%, driven by auspicious events and pre-monsoon demand, while commercial vehicle sales fell by 4% due to muted freight and tight liquidity.
Sudarshan Venu named chairman of TVS Motor
TVS Motor Company has announced Sudarshan Venu as the incoming chairman, effective August 25, 2025. This decision acknowledges Venu's significant contributions to the company's growth and strategic advancement during his time as a director. Sir Ralf Speth, the current chairman, will step down after the Annual General Meeting on August 22, 2025, as he will not seek re-appointment.
Dispatched 5.18 lakh vehicles through Indian Railways in FY 2024-25: Maruti Suzuki
Maruti Suzuki India achieved its highest-ever vehicle dispatch via Indian Railways in FY 2024-25, totaling 5.18 lakh units. Since FY 2014-15, the company has dispatched approximately 24 lakh vehicles through rail, serving over 600 cities and key export ports. This initiative has significantly reduced carbon emissions and fuel consumption, with plans to increase rail dispatches to 35% by FY 2030-31.
China's chokehold on rare earths set to suffocate auto industry
The move underscores China's dominance of the critical mineral industry and is seen as leverage by China in its ongoing trade war with US President Donald Trump. Trump has sought to redefine the trading relationship with the US' top economic rival China by imposing steep tariffs on billions of dollars of imported goods in hopes of narrowing a wide trade deficit and bringing back lost manufacturing.
Maruti Suzuki plans mega Rs 925 crore green bet; shares rise
Maruti Suzuki India will expand its renewable energy use. The company plans to invest over Rs 925 crore by fiscal year 2031. This investment will increase solar power capacity to 319MWp. Maruti recently added 30MWp of solar capacity at its Haryana and Manesar plants. The company aims for 85% renewable energy use by fiscal year 2031.
Hyundai overtakes Tata Motors to grab third spot in May
Indian car sales experienced a downturn in May. Maruti Suzuki, Hyundai, and Tata Motors saw sales decline due to weak demand. Hyundai surpassed Tata Motors, securing the third position. Mahindra and Toyota bucked the trend, increasing market share with popular SUVs. Maruti Suzuki faced challenges due to military operations in some states.
Toyota Fortuner mild-hybrid SUVs launched in India: Check prices, features, booking details and more
Toyota has introduced mild-hybrid versions of its Fortuner SUV and Fortuner Legender in India, named the Neo Drive 48V variants. These electrified models feature a 48-volt mild-hybrid system to enhance fuel efficiency and low-speed driving. Bookings are open, with deliveries commencing in June, with prices starting at ₹44.72 lakh.
Tesla not interested in manufacturing in India, minister says
Tesla is unlikely to manufacture in India soon, according to Heavy Industries Minister Kumara Swamy, despite securing showroom space and job listings. India plans to invite applications under a new EV policy offering lower import duties (15% vs 70%) to automakers investing $486 million in local production.
Bajaj Auto sales up 8% in May at 3,84,621 units
Bajaj Auto reported an 8% year-on-year increase in total sales for May, reaching 3,84,621 units. The company's domestic sales remained relatively stable at 2,25,733 units. A significant 22% surge in exports, totaling 1,58,888 vehicles, contributed to the overall growth compared to the previous year.
Passenger vehicle sales remain flat in May amid sluggish demand
Passenger vehicle sales in India remained nearly flat in May, increasing by a marginal 0.1% due to sluggish consumer demand, although SUVs continued to drive growth for companies like Mahindra & Mahindra and Toyota Kirloskar Motor. While Mahindra saw a 21% increase in sales, Tata Motors experienced an 11% decline.
Kia India dispatches up 14 pc at 22,315 units in May
Kia India experienced a notable 14% year-on-year increase in domestic dispatches to dealers in May, with 22,315 units billed compared to 19,500 units in May 2023. The newly launched Carens Clavis has garnered significant customer interest. This sales performance reflects the growing popularity of Kia's diverse product range and its commitment to meeting evolving customer needs.
