The December 2025 Car Sales Report closes the calendar year on a high note for the Indian passenger vehicle (PV) industry. Driven by year-end inventory correction, retail-led wholesale push, and aggressive OEM discounting, the market delivered a sharp YoY expansion, while MoM trends reflected selective brand-level divergence rather than broad-based weakness.
December emerged as a volume-heavy, market-share-defining month, with domestic OEMs consolidating dominance and Japanese-Korean brands facing visible pressure. SUVs, hybrids, and value-led hatchbacks anchored dispatches, while EV growth stayed structurally intact despite month-end supply balancing.
Market Overview: Strong YoY Finish Anchors CY2025
While December typically benefits from dealer restocking and calendar-year closure effects, December 2025 exceeded historical expectations, underlining sustained end-consumer demand rather than mere channel stuffing.
Key macro takeaways:
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Double-digit YoY growth for most top OEMs
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Aggressive market share consolidation by the leader
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Clear market share redistribution away from legacy incumbents
OEM-Wise Performance: December 2025 Rankings
| Rank | OEM | Dec’25 | Dec’24 | YoY Growth | Nov’25 | MoM Growth | Dec’25 MS | Dec’24 MS | MS Diff |
|---|---|---|---|---|---|---|---|---|---|
| 1 | Maruti Suzuki | 1,78,646 | 1,30,115 | +37.3% | 1,70,971 | +4.5% | 44.2% | 40.5% | +3.7 |
| 2 | Mahindra | 50,946 | 41,424 | +23.0% | 56,336 | -9.6% | 12.6% | 12.9% | -0.3 |
| 3 | Tata Motors | 50,046 | 44,221 | +13.2% | 57,436 | -12.9% | 12.4% | 13.8% | -1.4 |
| 4 | Hyundai | 42,416 | 42,208 | +0.5% | 50,340 | -15.7% | 10.5% | 13.1% | -2.6 |
| 5 | Toyota | 34,159 | 24,887 | +37.3% | 30,085 | +13.5% | 8.5% | 7.7% | +0.7 |
| 6 | Kia | 18,659 | 8,957 | +108.3% | 25,489 | -26.8% | 4.6% | 2.8% | +1.8 |
| 7 | MG Motor | 6,500 | 7,516 | -13.5% | 5,754 | +13.0% | 1.6% | 2.3% | -0.7 |
| 8 | Honda | 5,807 | 6,825 | -14.9% | 5,204 | +11.6% | 1.4% | 2.1% | -0.7 |
| 9 | Skoda | 5,567 | 4,554 | +22.2% | 5,491 | +1.4% | 1.4% | 1.4% | 0.0 |
| 10 | Volkswagen | 4,256 | 4,787 | -11.1% | 3,342 | +27.3% | 1.1% | 1.5% | -0.4 |
| 11 | Renault | 3,845 | 2,881 | +33.5% | 3,662 | +5.0% | 1.0% | 0.9% | +0.1 |
| 12 | Nissan | 1,902 | 2,118 | -10.2% | 1,908 | -0.3% | 0.5% | 0.7% | -0.2 |
| 13 | Citroën | 1,190 | 566 | +110.2% | 1,224 | -2.8% | 0.3% | 0.2% | +0.1 |
| 14 | Jeep | 292 | 286 | +2.1% | 253 | +15.4% | 0.1% | 0.1% | 0.0 |
Brand-Wise Analysis & Strategic Insights
1. Maruti Suzuki – Absolute dominance to end 2025
Maruti Suzuki delivered 1.78 lakh units, posting 37% YoY growth and expanding market share by a massive +3.7 percentage points, the largest gain of the year.
The December 2025 Car Sales Report highlights:
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Exceptional pull from Baleno, Swift, Fronx, Brezza
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Strong year-end rural + urban synchronization
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Inventory-led MoM growth even after a strong November
Maruti closes 2025 with unmatched scale leadership and pricing power.
2. Mahindra – Strong YoY, controlled year-end moderation
Mahindra’s 23% YoY growth underscores continued SUV demand, led by Scorpio-N, XUV700, Thar.
The MoM decline (-9.6%) reflects:
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Supply normalization after festive-heavy November
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Controlled wholesale discipline rather than demand erosion
3. Tata Motors – Growth intact, share under pressure
Tata posted 13.2% YoY growth, but lost 1.4 pp market share YoY, indicating intensifying competition.
Key factors:
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Nexon and Punch remain volume pillars
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EV volumes stable, but non-EV competition intensified in December
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Higher November base affected MoM trend
4. Hyundai – Structural pressure clearly visible
Hyundai’s December performance is one of the most telling signals of 2025:
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Flat YoY growth (+0.5%)
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Sharp market share erosion (-2.6 pp)
Despite Creta’s resilience, competitive pressure from domestic SUVs and price-sensitive buyers weighed heavily.
5. Toyota – Hybrids drive a strong year-end push
Toyota delivered 37.3% YoY growth and gained +0.7 pp market share.
December momentum was powered by:
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Hyryder hybrid demand
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Innova Hycross year-end dispatch push
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Strong MoM rebound (+13.5%)
6. Kia – Explosive YoY growth, MoM normalization
Kia recorded 108% YoY growth, the highest among large OEMs, aided by a weak base last year.
However:
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Sharp MoM decline reflects inventory correction after November
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Market share still expanded significantly (+1.8 pp YoY)
7. MG Motor – YoY decline persists
MG Motor remained under pressure with -13.5% YoY decline, despite MoM recovery.
Supply constraints and portfolio concentration continue to limit growth potential.
8. Honda – Structural volume weakness continues
Honda’s 14.9% YoY decline highlights continued struggles beyond Elevate.
MoM growth came from inventory alignment rather than fresh demand acceleration.
9. Skoda – Stable premium niche execution
Skoda posted 22% YoY growth, maintaining its 1.4% market share.
Slavia and Kushaq continue to deliver consistent, if niche, volumes.
10. Volkswagen – MoM spike, YoY softness
Volkswagen’s MoM jump (+27%) reflects year-end clearing, but YoY decline confirms limited portfolio breadth.
Emerging & Niche OEM Performance
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Renault: +33.5% YoY on rural-led demand for Kiger & Triber
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Citroën: +110% YoY, steady progress from a small base
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Nissan: Continued decline due to portfolio stagnation
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Jeep: Marginal volumes, ageing lineup impact persists
Market Share Landscape: December 2025
| OEM | Dec’25 MS | Dec’24 MS | Change |
|---|---|---|---|
| Maruti Suzuki | 44.2% | 40.5% | +3.7 |
| Mahindra | 12.6% | 12.9% | -0.3 |
| Tata Motors | 12.4% | 13.8% | -1.4 |
| Hyundai | 10.5% | 13.1% | -2.6 |
| Toyota | 8.5% | 7.7% | +0.7 |
| Kia | 4.6% | 2.8% | +1.8 |
The December 2025 Car Sales Report confirms a historic concentration of market power, with domestic OEMs commanding an overwhelming majority share.
Segment-Wise Trends Defining December
SUVs Continue to Dominate
SUVs remained the backbone of year-end volumes, accounting for well over 60% of dispatches, led by domestic OEM portfolios.
Hybrids Strengthen Urban Premium Demand
Toyota’s performance reaffirms hybrids as a profitable, scalable urban solution.
EV Growth Stabilises
EV volumes remained structurally healthy, though December saw supply balancing rather than aggressive expansion.
Entry-Level Hatchbacks Gain Momentum
Heavy discounting and financing schemes revived hatchback demand, benefitting Maruti the most.
Outlook: CY2026 Begins on Strong Footing
The December 2025 Car Sales Report signals a robust transition into 2026. With inventories largely balanced, new product pipelines opening, and demand remaining resilient, the industry enters the new year from a position of strength.
Conclusion: A Defining End to a Record Year
The December 2025 Car Sales Report encapsulates a pivotal month:
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Strong YoY growth
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Clear winners and losers
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Accelerating dominance of domestic OEMs
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Structural shifts toward SUVs, hybrids, and value-driven offerings
As 2026 begins, India’s passenger vehicle market stands more competitive, more consolidated, and more growth-oriented than ever before.
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