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SBI Research Festive Season Car Sales Report: The Indian automobile market witnessed a dramatic change during the festive season of September-October 2025, in which affordable vehicles emerged as the sales champions. According to data released by SBI Research, about 78% of the total cars sold during this crucial period were priced below the ₹10 lakh range. The credit for this huge surge in demand for mass-market vehicles goes to the recent GST cut.
New Delhi. This year, there was tremendous excitement in the market during the festive season of September and October 2025. The automobile market was also not untouched by this. Almost all the big car brands recorded their highest sales during this period. During this period, a big change has been seen in the Indian car market. According to SBI Research data, about 78% of the total cars sold during this period were cars whose price was less than ₹ 10 lakh. That is, the dominance of small cars continues in the market even today. Let's take a look at this in detail.
Markets buzzing due to reduction in GST
The main reason for this huge surge in sales of small cars GST cut Is being told. This change made by the government reduced the effective tax burden on small cars, due to which these vehicles became more attractive and affordable for the customers.
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Benefits of Saving: Due to reduction in GST, customers were able to buy new cars at less money, which further increased the enthusiasm for festive shopping.
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Mass-Market Strengths: This move provided a big benefit to families who are buying a car for the first time or are looking to upgrade to the budget segment.
These 5 cars were sold the most
| serial number | model |
| 1. | Maruti Suzuki WagonR |
| 2. | Maruti Suzuki Swift |
| 3. | tata punch |
| 4. | Maruti Suzuki Baleno |
| 5. | Hyundai Creta/Venue |
The biggest benefit of this trend Maruti Suzuki Ltd., which has the largest and widest mass-market portfolio in the Indian market. The company saw a sharp shift in the sales of its small and affordable cars.
Small and economical vehicles like Alto, WagonR, and Swift There was a tremendous increase in the demand for hatchback cars. These vehicles not only became cheaper due to GST cut, but their reliability and low maintenance cost also make them the first choice of customers.
What does this trend show?
This sales trend clearly shows that the Indian automobile market value-for-money And affordable mobility The importance of is still at the top.
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Budget Priority: Post-pandemic, customers are still spending wisely and investing in things that fit their budget.
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Contribution of rural and small towns: This huge sale of cars under ₹ 10 lakh is also coming from rural and tier-2/tier-3 cities, which indicates improvement in the country's economy.
Overall, small cars broke all sales records this festive season, which proves that customers are quick to turn to the market when given the right price and government incentives.