ICRA pegs India two-wheeler growth at 3-5% in FY27 as high base, El Nino cloud outlook
After a GST 2.0-aided 15.7% YoY May 2026 wholesale jump to 19 lakh units, ICRA sees FY27 moderating to 3-5% on price hikes and monsoon risk. Electric two-wheelers hit 8.9% penetration with 1.72 lakh units, up 71.7% YoY.
What happened
ICRA forecasts Indian two-wheeler industry wholesale growth at 3-5% in FY27, citing high base, El Nino risk, and price hikes. May 2026 wholesales grew 15.7% YoY
Key facts
- 3-5% FY27 growth
- 15.7% YoY May 2026 wholesale
- 19 lakh units
- 7.5% retail growth
- 1,72,148 EV units
- 71.7% EV YoY
- 8.9% EV penetration
Why this matters
Window is open to acquire or partner with EV two-wheeler players and component suppliers before ICE volume moderation tightens valuations on legacy assets.