The troika of GST cut, income tax rebate provided in the last union budget and the cumulative 125 basis points repo rate cut by the RBI has led to sale growth momentum in the automobile sector and December 2025 was no exception.

Continuing with the upsurge, Maruti Suzuki, Mahindra & Mahindra and Toyota Kirloskar Motor reported over 20% growth Year on Year (YoY), and according to Partho Benerjee, head of Selas & Marketing at Maruti Suzuki, the tailwind of these reforms would continue to play out in 2026 and the sector should clock a growth of 6 to 7%.

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