Two-Wheeler Retail in India Rises 33.08% in September

Two-wheeler retail in India climbed 33.08% year over year to 17,90,188 units in September 2026, according to the Federation of Automobile Dealers Associations (FADA). Retail also rose 4.41% from August’s 17,14,610 units, making September the segment’s strongest September on record. Volumes were 15.3% above the previous September peak set in 2018. Two-wheelers also represented the largest share of India’s total vehicle retail, which reached 25,36,920 units during the month. The result highlights a broad-based recovery in two-wheeler demand entering the festive period, despite some supply constraints and purchase deferments.

Rural and Urban Markets Post Broad-Based Growth

Rural and urban markets delivered almost identical year-over-year gains in September, indicating that the expansion was not concentrated in one demand channel. Rural two-wheeler retail increased 33.11%, while urban retail rose 33.06%. Month over month, however, urban markets advanced 5.29%, ahead of the 3.62% increase recorded in rural areas. FADA said dealers reported festive purchases during the first half of September, steady rural and semi-urban demand, stronger interest in premium motorcycles and rising electric vehicle adoption. These positive factors were partly offset by purchase deferments during Shraadh and shortages of fast-moving models.

Electric Two-Wheelers Increase Retail Share

Electric two-wheelers continued to gain share as overall retail expanded. EVs represented 11.58% of September two-wheeler retail, up from 10.68% in August and 8.17% in September 2025. Petrol and ethanol-powered models still dominated with an 88.35% share, while CNG and LPG models accounted for 0.07%. The data shows that electrification is advancing within the two-wheeler market while conventional powertrains remain the overwhelming volume base. The monthly increase in EV share also provides evidence of continued consumer interest in electric models during a period when festive buying and broader market growth supported total two-wheeler registrations.

Honda Leads September Two-Wheeler Retail

Honda Motorcycle and Scooter India led September retail with 4,68,789 units and a 26.19% market share. Hero MotoCorp followed with 4,34,280 units and a 24.26% share, while TVS Motor recorded 3,64,640 units and held 20.37%. Bajaj Auto posted 1,66,112 units, representing a 9.28% share. The leading manufacturers therefore captured a substantial portion of the month’s retail volume, with Honda maintaining the top position among the reported companies. The competitive ranking also shows the scale of the leading brands as demand strengthened across both rural and urban markets during the September festive period.

FY27 Two-Wheeler Retail Up 20.43%

Two-wheeler retail for April through September 2026 reached 1,10,43,407 units, compared with 91,69,815 units in the corresponding period of FY2026. The 20.43% year-over-year increase indicates that the segment’s strong September performance was part of a broader fiscal-year trend rather than an isolated monthly spike. The cumulative result gives manufacturers and dealers a stronger volume base entering the second half of FY2027. It also provides a useful measure of underlying demand because it captures performance across six months, including the contribution from both rural and urban markets and the continuing increase in electric two-wheeler adoption.

October Demand Outlook

FADA expects the conversion of two-wheeler bookings into retail sales to improve in October as auspicious festive days, rural cash flows, easier financing and continued EV interest support demand. At the same time, the association identified several factors that could influence the pace of growth, including OEM supply of fast-moving models, October price increases and rainfall-deficient areas. These conditions could affect how quickly bookings translate into deliveries and retail registrations. Dealers and manufacturers will therefore be watching supply availability, financing conditions and regional demand closely as the festive season progresses.

Industry Impact & Outlook

The September result strengthens the position of India’s two-wheeler market as a major driver of overall vehicle retail momentum, while the rising EV share signals a gradual shift in the segment’s powertrain mix. For manufacturers and dealers, the near-term opportunity is to convert strong festive demand into sustained retail volumes while managing availability of fast-moving models and regional demand differences. Honda Motorcycle and Scooter India, Hero MotoCorp, TVS Motor and Bajaj Auto remain central to the competitive landscape, while financing, pricing and weather conditions could shape October performance. The next key indicator will be whether stronger bookings translate into retail at the expected pace.

Frequently Asked Questions

What was the two-wheeler retail growth in September 2026?
Two-wheeler retail in India reached 17,90,188 units in September 2026, representing a 33.08% year-over-year increase and the segment’s best-ever September result. The growth was supported by festive purchases, steady rural and semi-urban demand, greater interest in premium motorcycles and rising EV adoption, although some purchases were deferred and fast-moving models faced supply shortages. Rural retail grew 33.11%, while urban retail increased 33.06%. Electric two-wheelers reached an 11.58% share of September retail, up from 8.17% a year earlier, showing continued growth in electric mobility alongside strong conventional vehicle demand.