Mahindra became India's second-largest yearly automobile sales leader in 2025.
The impact of EV additions and SUV demand on market rankings.
Mahindra & Mahindra concluded 2025 as the nation's second-largest passenger vehicle seller, a huge improvement over prior years and a big milestone for the Indian auto industry.
Mahindra's overall sales for the year were approximately 5.81 lakh units, an 18% increase over 2024, according to official registration data through late December 2025. Due to this expansion, Maruti Suzuki maintained its position as the market leader, surpassing both Hyundai and Tata Motors in yearly figures.
Mahindra's achievement is noteworthy. It surpassed competitors that had traditionally held the middle ground by moving from fourth place in 2024 to second in 2025. With about 5.52 lakh units, Tata Motors is expected to place third, slightly ahead of Hyundai with about 5.50 lakh units.
SUV Demand Drives Development
Strong and consistent demand for SUVs in India's urban, semi-urban, and rural sectors was the main factor in Mahindra's success this year. While the well-liked Thar family saw substantial growth, classic favourites like the Scorpio and Bolero continued to be best-sellers.
In reality, sales of the Thar and its new five-door derivative, the Thar Roxx, together exceeded one lakh units in 2025, an increase of around 55% from the previous year.
Mahindra's portfolio was still dominated by models like the Scorpio Classic and Scorpio-N, which combined sold more than 1.6 lakh units. Customers across all segments continue to favour SUVs over smaller cars, as evidenced by the significant volumes generated by other SUVs such as the XUV700 and the compact 3XO.
Electric Cars Gain Traction
Mahindra's electric vehicle (EV) products, in addition to conventional gasoline and diesel SUVs, contributed to an increase in total sales.
Mahindra's position in the growing EV market was bolstered by born-electric models like the BE 6, XEV 9e, and XEV 9s, which accounted for about 7% of the company's 2025 wholesale volumes.
Greater Market Changes
The 2025 rankings' fluctuations are indicative of larger patterns in the Indian auto industry. Although customer tastes are still dominated by SUV demand, electrified cars are starting to gain popularity. The battle between Tata and Hyundai remained fierce throughout the year, with places on monthly retail charts frequently fluctuating due to seasonal demand, new releases, and changing consumer tastes, despite Mahindra's ascent to second place being a big talking point.
All things considered, 2025 will be regarded as a year of competitive reorganization in India's passenger car market, with new growth drivers arising and established hierarchies being challenged.
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