India auto retail hits record 25.3 lakh units in May; EV penetration crosses 11% for first time
FADA data shows May 2026 auto retail up 9.55% YoY to 25,31,067 units, with PVs at 4.02 lakh (+23.25%). EV share crossed 11%, 2W EV penetration jumped to 9.25% from 6.11%, aided by GST 2.0 affordability and post-fuel-hike EV interest.
What happened
FADA · India's auto retail hit a record 25.3 lakh units in May 2026, up 9.55% YoY, with EV penetration crossing 11% for the first time. PVs, 2Ws, 3Ws and CVs
Key facts
- 25,31,067 units total May sales
- 9.55% YoY growth
- EV penetration 11%
- PV sales 4,02,591 units up 23.25%
- 2W EV share 9.25% vs 6.11%
- repo rate 5.25%
Why this matters
GST 2.0 tailwinds plus post-fuel-hike EV pull create a narrow window to acquire EV charging networks, battery-swap startups, or regional 2W EV dealer groups before valuations reset to the new penetration baseline.