Navratri 2026: Auto Sales Drop by 6.5 Percent, EVs Register 27 Percent Growth

The Indian automotive market experienced a mixed performance during the Navratri 2026 festive period. According to data released by the Federation of Automobile Dealers Associations (FADA), total vehicle retail sales recorded a year-on-year decline of 6.52 percent, with 11.23 lakh units sold compared to 12.01 lakh units during the same period in 2025. Industry experts have attributed this dip to a high base effect from the previous year, as well as the impact of GST 2.0 reforms which influenced consumer purchasing patterns.

FADA President Sai Giridhar noted that significant pent-up demand existed leading into the festive window. Many consumers reportedly delayed their vehicle registrations between August 16 and September 21, 2026, in anticipation of the new GST regime. Despite the overall decline compared to 2025, the industry still showed growth when measured against the 2024 festive period, during which 8.86 lakh vehicles were retailed.

Electric Vehicles Outperform Market Trends

While the broader market faced headwinds, the electric vehicle (EV) segment demonstrated notable resilience. EV retail sales surged by 26.78 percent year-on-year, reaching 1.17 lakh units during the 10-day Navratri period. This growth represents a significant jump from the 92,628 units sold in 2025 and an 83.06 percent increase compared to the 2024 figures. Consequently, EVs now account for approximately 10.5 percent of total vehicle retail, up from 7.7 percent the previous year.

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The growth was broad-based across electric segments. Electric two-wheelers saw a 33.41 percent increase, while electric three-wheelers grew by 10.51 percent. Electric passenger vehicles also posted a 25.97 percent rise. Notably, electric commercial vehicles recorded the highest growth rate at 96.04 percent, albeit from a smaller volume base. Despite this surge in interest, dealers are reporting significant supply-side constraints. Giridhar highlighted that global logistics disruptions and a shortage of specialized cargo ships for transporting EV-related materials are creating a widening gap between consumer demand and vehicle availability.

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Manufacturer Performance and Future Outlook

Individual manufacturers have reported varied experiences during the festive season. Hyundai Motor India announced a 30 percent year-on-year increase in registrations during the Shradh and Navratri period, totaling nearly 41,000 units. Tarun Garg, Managing Director and CEO of Hyundai Motor India, attributed this performance to resilient demand across both urban and rural markets, expressing optimism for the upcoming Dhanteras and Diwali celebrations.