Car Sales In May 2025: Maruti Stays Ahead As Mahindra, Toyota Zoom Ahead

The Indian automotive sector recorded a month of mixed performances in May 2025. While some major players faced a dip in sales, others made significant gains driven by strong domestic demand and surging exports. Maruti Suzuki continued to lead the market despite a decline in domestic figures, while Mahindra, Toyota, Kia, and MG registered robust growth. This report offers a detailed breakdown of how the top carmakers performed and what the latest figures signal for the months ahead.

Maruti Holds Firm Despite Slowing Domestic Numbers

Maruti Suzuki India maintained its status as the country's leading car manufacturer in May 2025. The company recorded total dispatches of over 1.80 lakh units, marking a modest growth compared to the same period last year. This uptick was largely powered by a sharp rise in overseas shipments. Export numbers soared by nearly 80%, offering a cushion against a 5.5% fall in domestic sales. Passenger vehicle figures also dipped slightly, reflecting a challenging home market environment despite the brand’s strong product portfolio.

Hyundai and Tata Face Sales Pressure

Hyundai Motor India, the second-largest player in the Indian market, faced another month of sales pressure. The company reported a noticeable year-on-year decline in both domestic and overall dispatches. While its export numbers showed a small increase, it wasn’t enough to offset the double-digit drop in domestic sales volumes.

Tata Motors also reported subdued numbers. Its domestic passenger vehicle sales slid significantly, continuing a trend observed over the past few months. Combined with international performance, Tata’s total figures for May still fell short of last year’s volumes. Factors such as intensified competition and cautious consumer sentiment may have contributed to the dip.

Mahindra Rides High on SUV Demand

Mahindra & Mahindra emerged as one of the best-performing automakers for May 2025. The company’s sales surged by 17% compared to the previous year, driven primarily by a sharp rise in SUV demand. Domestic sales saw a substantial 21% increase, underlining Mahindra’s growing dominance in the utility vehicle segment. Its export numbers also contributed positively to the overall total, suggesting broad-based strength across markets.

Kia Gains Momentum with New Offerings

Kia India saw double-digit growth in vehicle dispatches, closing May on a strong note. With over 22,000 units dispatched, the brand witnessed a solid 14% year-on-year increase. This momentum was supported by a well-received SUV lineup and the recent launch of a new model that appears to be resonating well with consumers. The company continues to expand its footprint in the mid-size and premium SUV segments.

Toyota and MG Make Impressive Gains

Toyota Kirloskar Motor recorded a substantial jump in monthly sales. The company posted a 22% growth year-on-year, aided by both domestic and export performance. With nearly 30,000 vehicles sold in India and a steady export pipeline, Toyota's strong May performance points to growing brand strength and product demand across categories.

JSW MG Motor India also reported an exceptional month, achieving a 40% rise in total sales. This impressive growth highlights MG’s increasing traction in India’s competitive SUV and electric vehicle market. The brand’s expanding dealership network and refreshed product lineup may be key contributors to its recent success.

Honda Posts Mixed Results

Honda Cars India had a month of mixed outcomes. While domestic sales saw a marginal improvement, export volumes declined significantly compared to the previous year. The brand’s overall figures were lower than most rivals, indicating potential areas for product or marketing realignment. Still, the modest uptick in domestic demand could be a sign of recovery if sustained in the coming months.

Market Overview: Export Gains Help Balance Domestic Challenges

May 2025 reflected a broader trend in the Indian automobile industry—brands with strong export strategies managed to soften the blow from a slower domestic market. While rising input costs and high interest rates may have deterred some buyers, the continued demand for SUVs and increasing model variety helped several automakers stay competitive.

Looking ahead, upcoming launches, the monsoon season’s impact on rural demand, and interest rate movements will likely influence future performance. The sustained interest in utility vehicles and electric mobility remains a promising sign for the sector’s longer-term outlook.