Auto Sales Soar 14.6% in December, GST Fuels Strong Recovery: FADA

• India's auto retail sales jumped 14.63% YoY in December 2025, reaching 20,28,821 units, driven by GST rate revisions.
• All segments grew, with Passenger Vehicles surging 26.64% and Two-wheelers rising 9.50% year-on-year.
• EV penetration increased, with PV EVs at 3.94% and two-wheeler EVs at 7.40% of respective segment sales.
• Rural markets outperformed urban areas, with rural PV sales growing 32.40% compared to urban PV sales at 22.93%.
• FADA expects continued growth in Q1 2026, supported by post-GST sentiment, festive season, and macro tailwinds like RBI rate cuts.

Why It Matters: GST rate cuts and strong rural demand propelled India's auto retail sales to robust growth in December and for full year 2025.