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India's auto sector: Tata Motors gains second spot in PV market; Hyundai and M&M fall behind

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Tata Motors has reclaimed the second spot in India’s passenger vehicle market , overtaking Hyundai Motor India and Mahindra & Mahindra in September, thanks to a strong performance in both SUVs and electric vehicles (EVs).

The company has also widened its lead over the JSW MG Motor in the EV segment.

According to government data from the Vahan portal, Tata moved from fourth place a year ago to second, behind market leader Maruti Suzuki. The September performance marks a return to the No 2 position after briefly holding it in March this year.

Tata registered 40,594 vehicles in September, a 28% increase over 31,581 units in the same month last year. Hyundai slipped to fourth place with 35,443 registrations, down from 37,666, while Mahindra climbed to 37,015 units but stayed in third. Maruti Suzuki continued to dominate, registering 122,278 vehicles, up from 113,560, according to ET.

EV sales speed up

EV registrations in September more than doubled from last year, rising to 15,040 units from 6,210. This growth includes new entrants Tesla and Vinfast, which started taking bookings on the same day, July 15, selling 60 and six units respectively.

Tata’s rise was supported by its internal combustion engine models: Nexon, Punch, and Harrier and by its EV range, including the Nexon EV, Tiago EV, and Punch EV, which contributed around 13–15% of total sales. The strong EV performance helped Tata widen its lead over MG, whose ZS EV and Comet models recorded far lower volumes, leaving Tata with an estimated 70% share of the mass EV segment, ET reported.

Hyundai’s fall to fourth reflects weaker demand for its Creta and Venue models, while its premium EVs, such as the Ioniq 5 and Creta EV, remain niche. Mahindra maintained its third-place position with popular models like the Scorpio-N, Bolero, XUV700, and Thar, though its mass-market EVs are expected only in 2026.

Industry experts noted that September 2025 registrations may not be directly comparable to last year due to GST cuts on small cars, the Shraddh period, and an earlier Navratri festival, which shifted many sales to the month’s end.
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