Auto Retail Sales Surge 26% in February as Sustained Demand Drives Record Sales Automobile retail sales in India surged by 26% in February 2026, reaching a record high of 19.1 lakh units, according to data released by the Federation of Automobile Dealers Associations (FADA). The report highlighted that five of the six major vehicle segments—two-wheelers, three-wheelers, passenger vehicles, commercial vehicles, and tractors—achieved their highest-ever February sales figures, with construction equipment being the only segment to see a decline of 1.2%. FADA president CS Vigneshwar described February as a landmark month for the sector, attributing the strong performance to policy-driven confidence, particularly following the implementation of GST 2.0, which has translated into sustained demand across multiple vehicle categories. Two-wheelers remained the largest segment, with retail sales of approximately 17 lakh units in February, marking a 25% increase from 13.6 lakh units in the same period last year. Growth was observed in both urban and rural markets. Passenger vehicle sales also hit a record, with dealers reporting around 4 lakh units sold in February, a 26% rise from 3.1 lakh units in February 2025. Rural markets saw a significant growth rate of over 34%, compared to about 21% in urban areas. SUVs were a key driver of demand, with dealer inventory levels dropping to between 27 and 29 days. Commercial vehicle sales rose 29% to 1 lakh units in February, driven by increased infrastructure activity and growth in logistics and e-commerce sectors. Tractors recorded the fastest growth among all categories, with sales up 36% to 89,418 units from 65,579 units in February 2025, reflecting robust rural demand.#federation_of_automobile_dealers_associations #cs_vigneshwar #gst_2_0 #fada #two_wheelers
