Auto Sector

Stellantis, the multinational automotive giant behind brands such as Jeep, Citroën, and Peugeot, has projected a surge in car demand in India, citing tax rationalisation as a key driver of growth. The company believes that a more balanced taxation regime could enhance affordability, expand the consumer base, and stimulate the long-term expansion of the automobile industry. With India emerging as one of the fastest-growing auto markets, Stellantis’ outlook underscores how policy reforms can play a decisive role in shaping both consumer sentiment and industry dynamics.

Renault India has announced significant price reductions across its product lineup following the implementation of GST 2.0, with discounts reaching up to Rs. 96,395 depending on the model. The move comes in response to revised tax rates aimed at revitalizing the auto industry and enhancing consumer affordability. By swiftly aligning its pricing strategy with the new structure, Renault seeks to stimulate demand in a market that has experienced sluggish growth in recent quarters.

Mahindra & Mahindra has announced a significant reduction in prices across its passenger and commercial vehicle lineup after the government’s decision to lower Goods and Services Tax (GST) rates on automobiles. The move, which translates into savings ranging from Rs. 20,000 to over Rs. 2 lakh depending on the model, is expected to stimulate sales in a sector grappling with muted demand.

Maruti Suzuki has officially launched its new SUV, the Victoris, adding fresh momentum to India’s increasingly competitive sport utility vehicle segment. Positioned to attract both urban and semi-urban buyers, the Victoris combines a bold exterior design with advanced technology, safety features, and fuel-efficient powertrains. With the SUV market witnessing record demand, the company aims to capture a larger share of this fast-growing category while strengthening its leadership in passenger vehicles.

The government’s decision to lower the Goods and Services Tax (GST) on two-wheelers has been met with strong approval from Hero MotoCorp, India’s largest two-wheeler manufacturer. The tax cut, expected to make motorcycles and scooters more affordable, is likely to stimulate demand in both urban and rural markets. Industry stakeholders believe this policy shift could invigorate the auto sector, which has been grappling with cost pressures and sluggish sales in recent quarters.

India’s largest carmaker, Maruti Suzuki, reported a dip in total sales for August, with volumes slipping to 1,80,683 units compared with 1,89,082 units in the same month last year. While the company’s exports saw moderate growth, domestic passenger vehicle sales experienced pressure due to evolving demand dynamics and supply constraints in certain segments. The performance reflects both cyclical challenges and shifting consumer preferences in the automobile market, even as Maruti continues to expand its portfolio in hybrid and compact SUV categories to strengthen its market leadership.

Uttar Pradesh has begun implementing the Ministry of Road Transport and Highways (MoRTH) guidelines for the registration of vintage and classic vehicles, offering automobile enthusiasts a structured framework for preserving and legally operating their prized possessions. Under the new rules, vintage cars will be registered with distinctive license plates and issued special certificates of registration. The move not only ensures recognition of vintage vehicles as heritage assets but also brings them under a standardized system of regulation.

Punjab & Sind Bank has announced a strategic partnership with Maruti Suzuki Finance to expand its retail auto loan portfolio and provide customers with easier financing options for purchasing Maruti Suzuki vehicles. The collaboration aims to streamline the car-buying process by offering competitive interest rates, simplified loan approvals, and tailored financing solutions. This tie-up comes at a time when India’s automobile sector is witnessing steady growth, fueled by rising consumer demand, improving rural incomes, and favorable credit availability.

Bajaj Auto Ltd. shares rallied after the company reported robust sales figures for August, signaling strong momentum in both domestic and export markets. The two- and three-wheeler manufacturer recorded healthy demand across product categories, reinforcing its reputation as one of India’s most resilient automotive players. Investors responded positively to the data, driving stock gains on the exchanges.

Suzuki Motorcycles has announced a recall affecting 5,000 units of its popular Gixxer 250 model due to a potential issue with the rear braking system. The move aims to ensure rider safety and prevent any performance-related incidents stemming from brake malfunction. Owners of the affected bikes are advised to visit authorized service centers for inspection and corrective measures at no additional cost.