India’s passenger-vehicle market is heading into Dhanteras and Diwali with strong bookings from leading carmakers, even as festive-season retail registrations have fallen sharply against last year’s GST-driven surge. Dealers’ body FADA reported a 22% year-on-year decline in passenger-vehicle retail sales during Navratri, with registrations falling to 1,82,728 units from 2,34,004 units in 2025.
The comparison is affected by the high base created last year after GST rate cuts took effect on September 22, 2025. The lower tax rates reduced vehicle prices and released pent-up demand, as some buyers had deferred purchases before the changes. This created an unusually strong festive-season performance in 2025 and has made the current year’s growth comparison more difficult.
Carmakers, however, have reported stronger booking and delivery trends than the registration numbers suggest. Maruti Suzuki, Hyundai Motor India and Tata Motors Passenger Vehicles together account for around two-thirds of passenger-vehicle sales in India. Their performance through Navratri is being watched closely as the industry enters the final and traditionally important phase of the festive period.
Maruti Suzuki said its retail sales between Ganesh Chaturthi and Dussehra increased 35% year-on-year. Small-car sales rose by around 16%, while SUV sales doubled, according to the company. Its Navratri retail sales were almost at the same level as last year.
“The festive season has been encouraging for Maruti Suzuki, with strong customer demand through Navratri,” Partho Banerjee, the company’s senior executive officer for marketing and sales, said. Maruti began October with pending bookings of around two lakh vehicles. That figure rose to 2.7 lakh after Dussehra, and the company expects double-digit growth over the overall festive period through Diwali.
The booking figures indicate that retail registrations may not fully capture demand for vehicles that have been reserved but are awaiting delivery. They also show the importance of the festive sales window for manufacturers and dealers, who use the period to convert customer enquiries and bookings into completed purchases.
Hyundai Motor India has also reported healthy demand following sales activity during Onam and Ganesh Chaturthi. Registrations for the company up to the Navratri festival rose by about 30% year-on-year to nearly 41,000 units.
“Considering the pace of bookings, we expect momentum to continue through Dhanteras and Diwali. Demand remains healthy across both urban and rural markets,” Tarun Garg, managing director and chief executive officer of Hyundai Motor India, said.
The contrasting indicators—lower industry-wide registrations but strong company-level bookings and deliveries—leave the final festive-season outcome dependent on sales during Dhanteras and Diwali. The next milestone for the market will be whether the booking pipeline translates into completed registrations by the end of the festive period.
