Tata Motors Reclaims No. 2 Spot in India's Retail Car Market After Seven Months

Tata Overtakes Mahindra and Hyundai in March 2025 Retail Sales

Tata Motors has regained its position as the second-largest automaker in India’s passenger vehicle (PV) retail market, marking a major comeback after a seven-month slide. According to data from the Federation of Automobile Dealers Associations (FADA), the Mumbai-based automotive giant sold 48,462 passenger vehicles in March 2025, surpassing Mahindra & Mahindra and Hyundai Motor India.

This turnaround comes just a month after Mahindra broke into the top two, disrupting the long-standing Maruti–Hyundai duopoly. However, Tata’s strong March performance signals renewed momentum as the auto industry heads into a new fiscal year.

Mahindra and Hyundai Trail Behind

Mahindra followed closely with 46,297 PV sales, marking a 17% year-on-year growth. Despite this, it was not enough to maintain February’s No. 2 ranking. Hyundai, meanwhile, faced a 5% decline, moving 42,511 units—down from the previous year’s 44,734.

In terms of market share:

• Tata Motors slipped slightly from 14.1% to 13.8%

• Mahindra increased from 12.03% to 13.20%

• Hyundai dropped from 13.50% to 12.13%

This shift highlights Hyundai’s growing challenge to maintain its position amid intensifying competition, despite the launch of the Creta EV and its robust SUV lineup.

India’s PV Market Sees 6.27% Growth

March 2025 saw total retail PV sales climb to 350,603 units, up from 329,946 in March 2024—a 6.27% increase.

Maruti Suzuki continues to dominate the segment, selling 132,423 units and securing 37.77% market share—down from 38.94% last year. Despite maintaining leadership, the slight decline signals growing pressure from rivals expanding their market footprints.

Emerging Winners: Toyota and Skoda-Volkswagen

Toyota Kirloskar Motor and the Skoda Auto Volkswagen Group posted significant market share gains:

• Toyota: 23,328 units (up from 19,732), market share at 6.65%

• Skoda-VW Group: 9,064 units (up from 5,872), market share at 2.59%

Toyota’s growth was led by the popularity of the Innova HyCross, Urban Cruiser Hyryder, and Hilux, while Skoda-Volkswagen’s improved localisation strategy boosted its appeal in the premium segment.

Conclusion

Tata’s resurgence signals a shifting landscape in India’s auto market, with legacy players now facing heightened competition. As localization strategies, electric mobility, and evolving consumer preferences reshape the industry, the race for top market positions is expected to stay heated in the months ahead.