India's passenger vehicle market delivered a strong performance in September 2026, with registrations rising sharply ahead of the festive season. According to Vahan registration data, the country's passenger vehicle registrations reached 4,20,359 units in September, compared with 3,18,907 units in the same month last year.

This represents a 31.8% year-on-year increase, while registrations were also up 2.6% compared with the 4,09,528 units recorded in August 2026.

The growth was broad-based, with most major manufacturers recording double-digit annual increases. Maruti Suzuki continued to dominate the market, while Mahindra moved into second place ahead of Tata Motors in the registration rankings.

Maruti Suzuki Retains Market Leadership

Maruti Suzuki remained comfortably ahead of its rivals in September, recording 1,69,826 registrations.

The company registered 1,30,533 units in September 2025, meaning its volumes increased by 30.1% year on year. Its September performance was almost identical to August, when it registered 1,69,756 units.

Despite the strong volume growth, Maruti Suzuki's market share declined slightly to 40.4%, compared with 40.9% a year earlier.

The numbers underline the company's continued dominance of India's passenger vehicle market, with Maruti accounting for more than two-fifths of the registrations covered in the September data.

Mahindra Moves Ahead of Tata Motors

Mahindra cars recorded 57,817 registrations in September 2026, marking a substantial 35.5% increase over the 42,657 units registered in September 2025.

The company also recorded a healthy 7.8% month-on-month increase from August's 53,624 units.

Mahindra's market share increased to 13.8%, compared with 13.4% a year earlier.

The company finished just 1,661 units ahead of Tata Motors, highlighting how closely the two manufacturers are currently competing for the second position.

Tata Motors Records Strong Annual Growth Despite Monthly Decline

Tata Motors registered 56,156 units in September, up 28.1% from 43,847 units a year earlier.

However, the company experienced a 3.3% month-on-month decline from August's 58,045 registrations.

Tata's market share stood at 13.4%, slightly lower than the 13.7% recorded in September 2025.

The manufacturer's performance reflects continued demand for its SUV and passenger vehicle portfolio, although its monthly registrations were lower than the previous month.

Hyundai Crosses 50,000 Registrations

Hyundai cars recorded 50,201 registrations in September 2026, crossing the 50,000-unit mark.

The company grew 31.5% year on year from 38,188 registrations in September 2025. Hyundai also recorded a 4.4% month-on-month increase over August.

Its market share stood at 11.9%, broadly stable compared with the 12.0% share recorded a year earlier.

Hyundai therefore continued to occupy the fourth position among the manufacturers covered in the registration data.

Toyota and Kia Continue to Grow

Toyota cars registered 28,212 units in September, representing a 21.4% year-on-year increase over 23,241 units in September 2025.

The company also recorded a 6.2% month-on-month improvement from August's 26,571 registrations. Toyota's market share stood at 6.7%.

Kia cars delivered an even stronger annual growth rate. Registrations increased 45.9% year on year to 26,668 units from 18,276 units a year earlier.

Kia also grew 9.7% month on month and increased its market share from 5.7% to 6.3%.

Among the six largest manufacturers, Kia therefore recorded the strongest year-on-year growth rate.

September 2026 India Car Registration Data
 

Skoda-Volkswagen and MG See Moderate Growth

The combined registrations of Skoda and Volkswagen stood at 8,468 units, increasing 13.8% year on year and 8.4% compared with August.

MG motor recorded 6,475 registrations, up 13.6% over September 2025. Its month-on-month growth stood at 4.8%.

While the growth rates were lower than those of some of the faster-growing brands, both manufacturers remained in positive territory.

Honda Posts 42.5% Annual Growth

Honda cars was another established manufacturer to record a strong year-on-year increase.

The company registered 5,283 units, compared with 3,707 units in September 2025. This represents growth of 42.5%.

Honda also recorded a 2.6% month-on-month increase from 5,149 units in August.

Its market share improved slightly from 1.2% to 1.3%.

Nissan More Than Doubles Registrations

Nissan cars recorded one of the biggest year-on-year percentage increases among the established manufacturers.

Its September registrations reached 2,967 units, compared with 1,379 units a year earlier. That translates into a 115.2% year-on-year increase.

Nissan's registrations were also 5% higher than in August.

Its market share consequently increased from 0.4% to 0.7%.

VinFast Continues to Build Its Presence

VinFast car recorded 2,964 registrations in September 2026, compared with only six units in September 2025.

Because of the extremely low base last year, the percentage year-on-year increase is unusually high and is not particularly useful for comparing underlying growth.

More significant is the company's 32.4% month-on-month increase from 2,239 units in August.

The September figure pushed VinFast close to the 3,000-unit monthly registration mark.

BYD, Citroen and Jeep Round Out the List

BYD car recorded 836 registrations in September, up 14.2% year on year.

The company also saw a substantial 47.4% month-on-month increase from 567 units in August.

Citroen registered 803 units, almost double its September 2025 figure of 406 units. Its year-on-year growth stood at 97.8%, although registrations declined 2.9% compared with August.

Jeep recorded 272 registrations, up 15.7% year on year and 39.5% month on month.

What the September Numbers Indicate

The September registration data points to strong momentum in India's passenger vehicle market.

The overall increase of more than 1 lakh registrations compared with September 2025 highlights how significantly the market has expanded over the past year. At the same time, the performance of individual manufacturers shows that growth is not evenly distributed.

Mahindra gained ground in the rankings, Kia delivered particularly strong growth, Nissan more than doubled its registrations and Honda also recorded a substantial annual increase.

Maruti Suzuki, however, continued to dominate the market with a 40.4% share.

The data also highlights the importance of the upcoming festive period. September traditionally sets the stage for the major October-November buying season, and manufacturers are likely to focus on maintaining supply and converting strong consumer interest into registrations.

Festive Season Could Provide Another Boost

The strong September performance comes as the Indian auto industry enters one of its most important sales periods of the year.

Festive demand can have a major impact on vehicle registrations as consumers bring forward purchases around Navratri, Dussehra and Diwali.

Recent industry reporting also points to strong passenger vehicle demand ahead of the festive season, although manufacturer wholesale numbers can differ from Vahan registrations.

If the September momentum continues into October, the passenger vehicle market could see another strong month.