Scooters Overtake Motorcycles as SUVs Drive Car Sales; Overall Auto Up 21.4%: SIAM

SIAM Q1FY27 data shows scooter sales surging 30.8% to 21.79 lakh units, outpacing motorcycles (+14%). UVs rose 28.6% while total PV sales climbed 25.9%. GST 2.0, lower financing rates and easing inflation sustain demand ahead of the festive season.

— Source publishedWed, 15 Jul, 2026, 12:19 IST·First seen Wed, 15 Jul, 2026, 13:28 IST·Source NDTV Profit

What happened

SIAM Q1FY27 data shows scooters outpacing motorcycles (30.8% growth) and SUVs driving car sales, with overall auto sales up 21.4%. GST 2.0, lower financing

Key facts

  • scooter sales +30.8% to 21,78,858 units
  • motorcycle sales +14% to 33,08,847 units
  • UV sales +28.6% to 8,61,918 units
  • overall auto sales +21.4% to 73,81,656 units
  • PV sales +25.9% to 12,73,811 units
  • two-wheeler sales +20.3% to 56,28,675 units

Why this matters

The structural shift toward scooters and UVs creates M&A and partnership opportunities in two-wheeler EV/scooter platforms and SUV-focused segments capturing the fastest-growing demand.

What to watch

  • Monthly SIAM/FADA dispatch vs retail divergence (channel stuffing risk)
  • RBI rate decision and transmission to auto loan rates
  • Commodity/input cost trends and any GST clarification for autos
  • Festive-season retail conversion and urban vs rural demand split
  • Fuel prices and EV two-wheeler adoption curve
  • OEMs (TVS, Honda, Hero, Bajaj) accelerate scooter capacity and EV variant launches to capture the shift
  • Dealers expand festive-season inventory and financing tie-ups to convert demand
  • PV makers double down on UV/SUV portfolios and trim sedan/hatchback lines
  • NBFCs and banks widen two-wheeler and auto loan promotions ahead of Diwali