India Car Sales July 2026: Market Falls 3 Percent to 3.53 Lakh, Tata's EV Arm Posts Its Best Month of the Year

Passenger vehicle registrations in India came in at 3,53,043 units in July 2026, down 3.2 percent from June. Maruti Suzuki slipped below 1.32 lakh and gave up nearly 9,500 units month on month, which accounts for most of the decline on its own. The one line moving decisively the other way was Tata Passenger Electric Mobility, which crossed 12,000 for the first time this year.

EV Maker July 2026 Sales

Tata was the only name in this group to grow, and it did so in a month when the broader market shrank. Seven straight months of data now show its electric arm climbing from 8,622 in January to 12,350 in July, a run that has not once reversed for two consecutive months.

Mahindra's electric arm is the more interesting story because of how quickly it built scale and how abruptly it paused.

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It nearly doubled between February and March, held above 5,500 for four months, peaked at 7,305 in June, then dropped 8.5 percent. A single soft month after that kind of ramp is not a collapse, but it does end the streak.

VinFast and BYD India both fell more than 20 percent, and both had set their own highs in June. For VinFast in particular, the shape of the year matters more than the July figure. It went from 445 in January to 1,080 in June, so July is a step back from a peak rather than a slide from a plateau.

Mass Market Car Sales In July 2026

Maruti still holds two out of every five registrations in this group, but July was its weakest month since February. The 9,467 unit drop is larger than the entire monthly volume of every brand below Kia in this table, which is a useful way to understand how much a single soft month at Maruti moves the headline number.

Add the electric entities back in and the brand ranking shifts. Tata's combined July figure is 53,519 and Mahindra's is 49,085, which puts Tata second overall for the month rather than third. Neither brand can be judged on its ICE row alone anymore.

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Hyundai and Kia were the only large gainers, up 3.7 percent and 5.8 percent respectively. Both had spent the previous three months declining, so July reads as a stabilisation rather than a breakout. Kia's June figure of 22,061 was its lowest of the year, which flatters the July rebound slightly.

Honda's 13.5 percent gain is the strongest of any brand above 5,000 units. It comes off a shallow base, since Honda spent May at just 4,201, but it puts the brand back above 5,000 for the first time since April.

Stellantis posted the biggest percentage jump in the entire dataset at 23.9 percent, and its 867 units are its best month since January.Toyota, Skoda Auto Volkswagen and JSW MG all gave up ground.

The MG figure is worth watching because the drop of 8 percent is the steepest among established mass market players, and it comes from a brand whose registration line includes both its petrol and its electric models.

Renault fell 10.9 percent to 3,320, its weakest month since February. Nissan slipped 4.1 percent. Between them the two alliance partners now account for under 1.8 percent of the market, down from a combined 7,056 units in January to 5,894 in July.

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Luxury Car Sales 2026

The luxury segment  contracted 7.1 percent in July, more than double the rate of the overall market. BMW, Mercedes-Benz, Jaguar Land Rover and Volvo all fell, and no brand above 100 units grew. That is a cleaner directional signal than most months produce.

BMW extended its lead over Mercedes-Benz to 386 units in July, and its lead over the full seven months now stands at 1,898. Both brands are down from their January peaks, when BMW registered 2,118 and Mercedes 1,874.

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Jaguar Land Rover has been the segment's steadier performer. It set a year high of 601 in June and gave back only 38 units in July, leaving it ahead of where it sat through most of the first half.

The two Ferrari importer lines combine to seven units for July, which is exactly in line with the brand's monthly average this year.

Lamborghini's fall from nine to four and Maserati's from six to one look severe as percentages, but at these volumes a delayed shipment produces the same chart as a demand problem.

Treat the Audi and Lexus lines with care. AUDI AG at 145 units across seven months is a direct import channel rather than Audi's full India business, and Lexus Motors Ltd at 31 units is similarly partial. Neither figure should be read as the brand's actual market performance.

Note on data: Source from VAHAN and accurate as of July 31.