GST Cut Fuels Record 20 Million Two-wheeler Sales in India in FY26

• India's two-wheeler market achieved a historic milestone, with retail sales exceeding 20 million units in FY26.
• A key driver for this surge was the reduction in GST on ICE vehicles from 28% to 18%, lowering ownership costs.
• ICE vehicles maintained dominance despite the push for electric mobility, becoming more competitive due to the GST cut.
• Improved rural demand and broader economic recovery also contributed to the significant increase in sales.
• TVS Motor Company strengthened its market share from 15.15% in December 2021 to 19.46% in February 2026, while Hero MotoCorp saw a decline.