India’s auto sector eyes record festive sales; Maruti reports 50% increase, Tata & others post robust growth

India's auto industry is experiencing a massive surge in festive sales during this year's Dhanteras, with major automakers like Maruti Suzuki, Tata Motors, and Hyundai Motor India posting strong customer demand, fueled by a combination of festive spirit and the impact of GST 2.0 reforms.

This year's Dhanteras period is spread over two days, starting from 12:18 PM on Saturday and extending until 1:51 PM on Sunday, giving automakers an extended delivery window to capitalise on the auspicious muhurats and push record volumes, ANI reported.

Maruti Suzuki leads with all-time high projections

Maruti Suzuki is on track to post its highest-ever Dhanteras sales. The company expects to reach 51,000 deliveries by Monday, September 20, a nearly 23% increase over last-year's 41,500 vehicle deliveries.

“The company has already delivered 38,500 vehicles and expect to reach 41,000 by end of today,” said Partho Banerjee, the Senior Executive Officer, Marketing & Sales of Maruti Suzuki.

Banerjee attributed this increase primarily to the “GST 2.0 magic.” Since the price reduction announcement, the company has seen an unprecedented customer response, receiving 4.5 lakh bookings, including 1 lakh for small cars. Retail sales have already hit 3.25 lakh, marking a growth of more than 50% over a similar period last year.

“Traction is very good. Everyday 14,000 bookings are coming,” Banerjee added. To manage this high demand amid vehicle shortages across models, Maruti Suzuki's showrooms are remaining open late into the night, and production is running even on holiday weekend, ANI reported.

Strong demand for Tata Motors and Hyundai

Other major automakers are also reporting robust growth, with Tata Motors Passenger Vehicles Ltd. expecting to deliver over 25,000 vehicles during the extended Dhanteras and Diwali period, according to Amit Kamat, Chief Commercial Officer of the company.

“This year, Dhanteras and Diwali deliveries are spread over two - three days in line with the auspicious mahurats. Overall demand has been robust, and the GST 2.0 reform has further provided positive momentum,” he told ANI.

Hyundai Motor India is witnessing a similar trend as it is anticipating around 14,000 units deliveries, which is approximately 20% higher than last year. Tarun Garg, Whole-time Director & COO of the company said, “This year, Dhanteras deliveries are spread across multiple days because of it being a Saturday. We are witnessing strong customer demand," citing the festive spirit, a buoyant market environment and the encouraging impact of GST 2.0 reforms as the main drivers for the strong customer demand, ANI reported.