All major original equipment manufacturers (OEMs) reported more than 20 per cent growth during the month, while their market shares remained largely unchanged
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ANI
Commercial vehicle (CV) retail sales in India rose 29 per cent year-on-year in February 2026 to 1,00,820 units compared with 78,219 units in the same month last year reflecting steady freight activity and improved fleet utilisation, according to Federation of Automobile Dealers Associations (FADA) data.
All major original equipment manufacturers (OEMs) reported more than 20 per cent growth during the month, while their market shares remained largely unchanged.
Tata Motors Ltd continued to dominate the segment with a 35.61 per cent market share in February 2026. It was followed by Mahindra & Mahindra Ltd with 26.79 per cent and Ashok Leyland Ltd with 18.47 per cent, FADA data showed.
Among manufacturers, Daimler India Commercial Vehicles recorded the highest growth of 39.46 per cent, with sales rising to 2,389 units from 1,713 units a year earlier. Force Motors Ltd posted the lowest growth at 4.75 per cent, with sales increasing to 2,097 units from 2,002 units.
Dealer feedback
FADA said dealer feedback pointed to improved freight availability, steady e-commerce activity and infrastructure-linked demand supporting fleet additions across regions. The positive sentiment following the rollout of GST 2.0 also helped boost secondary demand and bulk purchases. However, some regions reported supply constraints for certain models, even as the overall booking pipeline remained healthy.
According to Poonam Upadhyay, Director at Crisil Ratings, commercial vehicle volumes remain on a healthy trajectory with demand for medium and heavy commercial vehicles (M&HCVs) leading the growth, supported by strong construction activity, higher mining output and increased goods movement. Growth in light commercial vehicles (LCVs) is being driven by the expansion of e-commerce and last-mile logistics, she said.
Fleet replacement demand is also gaining momentum after being deferred during FY20–FY22 amid the pandemic and the transition to BS-VI emission norms, which had increased vehicle costs. The reduction in GST on commercial vehicles to 18 per cent in September 2025 from 28 per cent earlier has improved purchase economics and unlocked postponed buying decisions.
Looking ahead, replacement demand and infrastructure-led freight activity are expected to sustain volumes, though growth could moderate to mid-single digits on a higher base, Upadhyay said.
The 6 per cent month-on-month decline in February sales was largely seasonal, reflecting dispatch timing and purchase bunching rather than any slowdown in demand, she added.
Published on March 5, 2026