Tata Motors Reclaims No. 2 Title in Retail Car Market After 7-Month Gap

Tata Motors has reclaimed its position as India’s second-largest car brand by retail sales, edging past Mahindra & Mahindra and Hyundai Motor India in March, according to data released by the Federation of Automobile Dealers Associations (FADA).

The Mumbai-based automaker sold 48,462 passenger vehicles (PVs) last month, regaining the runner-up spot in retail sales rankings after a seven-month hiatus. During this period, Tata Motors had mostly held third place and had slipped to fourth on two occasions.

In March, Tata Motors' sales grew 5% year-on-year, though its market share dipped slightly to 13.8%, down from 14.1% a year ago. Mahindra recorded sales of 46,297 PVs, up 17% year-on-year, while Hyundai Motor India posted sales of 42,511 PVs, down 5%. In terms of market share, Mahindra's rose to 13.20% from 12.03% in March 2024, while Hyundai’s fell to 12.13% from 13.50%.

The latest shift in rankings underscores the intensifying competition in India’s PV market for the second spot—a position long held by Hyundai until recent months. The race for the No. 2 position has heated up in 2025. In February, Mahindra overtook both Tata Motors and Hyundai, briefly breaking the long-standing Maruti–Hyundai duopoly at the top. But March saw Tata bounce back.

The reshuffling also signals potential concerns for Hyundai, which has now missed the No. 2 position for two consecutive months, despite its strong SUV lineup and the recent debut of the Creta EV. In contrast, Mahindra maintained strong momentum, driven by popular SUV models such as the Scorpio-N, Thar, and XUV700.

In March, India’s PV market recorded total retail sales of 350,603 units, up 6.27% from 329,946 units sold during the same month last year. Maruti Suzuki India, the country’s largest carmaker, maintained its top spot during the month.

Maruti Suzuki sold 132,423 units, up from 128,465 units a year earlier. However, its market share declined to 37.77%, down from 38.94% in March 2024—indicating increasing pressure from rivals. While Maruti continues to benefit from a broad customer base across hatchbacks, sedans, and SUVs, its dominance is slowly being challenged as competitors expand their offerings and improve localisation.

In terms of market share, companies like Mahindra, Toyota Kirloskar Motor, and the Skoda Auto Volkswagen Group made significant gains in March. Toyota’s share rose to 6.65% from 5.98% a year ago, while the Skoda Auto Volkswagen Group's market share jumped to 2.59% from 1.78%.

Toyota continued its upward trajectory, selling 23,328 units in March, up from 19,732 units a year earlier. Its market share was boosted by strong demand for models like the Innova HyCross, Urban Cruiser Hyryder, and the Hilux.

Meanwhile, the Skoda Auto Volkswagen Group saw a notable jump in its combined market share, selling 9,064 units—up from 5,872 units in March 2024.