India Commercial Vehicle Retail Sales February 2026 Hit Record 1,00,820 Units

The Federation of Automobile Dealers Associations reported that India commercial vehicle retail sales February 2026 reached 1,00,820 units, representing a 28.89% increase compared with 78,219 units recorded during the same month in the previous year. The figure marks the highest February retail volume ever recorded for the commercial vehicle segment and reflects the broader strength seen across India's automotive retail market during the month.

The wider auto retail market registered 24,09,362 units in February 2026, showing a 25.62% year-on-year increase. Five of the six major vehicle categories recorded their strongest February performances, highlighting strong consumer and business demand across the sector. Commercial vehicles emerged as one of the key contributors to this growth momentum.

Urban and Rural Demand Strengthen Market Expansion

Growth in commercial vehicle sales was observed across both metropolitan and rural regions. Urban CV retail increased by 25.78% year-on-year, while rural markets expanded at a faster rate of 32.21%. The stronger rural growth indicates that demand for goods transport and logistics capacity is spreading beyond traditional industrial hubs.

Despite the strong annual growth, month-on-month retail sales declined slightly by 6.20% compared with January 2026 volumes of 1,07,486 units. Analysts typically attribute such declines to February being a shorter calendar month.

Segment Breakdown Shows Broad-Based Strength

Performance across the various commercial vehicle sub-segments indicates widespread market strength.

• Heavy Commercial Vehicles (HCV) recorded 35,127 units, rising 34.74% year-on-year and increasing 2.45% compared with January 2026.
• Medium Commercial Vehicles (MCV) registered 8,089 units, delivering the strongest sequential improvement with a 5.77% month-on-month increase and a 39.54% rise year-on-year.
• Light Commercial Vehicles (LCV) accounted for approximately 57,547 units. While LCV volumes declined 12.15% compared with January, they remained 24.39% higher than February 2025 levels.

The strong HCV and MCV performance reflects sustained investment in long-distance freight capacity and fleet modernization by logistics operators.

Economic and Policy Factors Driving Demand

Dealers across multiple regions attributed the robust sales performance to a mix of demand-side and policy-driven factors. Increased freight movement, expansion of e-commerce logistics networks, and infrastructure-related transport demand were identified as key drivers encouraging fleet operators to add new vehicles.

Additionally, positive sentiment following the implementation of GST 2.0 earlier in the fiscal year helped strengthen secondary market demand and encouraged bulk fleet purchases. The revised policy framework is widely viewed by dealers as improving affordability and supporting buyer confidence across multiple vehicle segments.

Manufacturer Market Share and Industry Positioning

In terms of manufacturer rankings, Tata Motors retained the leading position in the commercial vehicle retail market during February 2026. The company recorded 35,900 units, giving it a 35.61% market share compared with 34.75% in the same month of the previous year.

Mahindra & Mahindra secured second place with 27,014 units and a 26.79% share, slightly lower than its 27.06% share in February 2025. Ashok Leyland followed with 18,619 units and an 18.47% market share, remaining broadly consistent with its previous-year position.

Other manufacturers also contributed to the competitive landscape. VE Commercial Vehicles recorded 8,263 units, representing an 8.20% share. Maruti Suzuki India accounted for 4,489 units with a 4.45% share. Daimler India Commercial Vehicles reported 2,389 units with a 2.37% share, while Force Motors delivered 2,097 units representing 2.08% of total retail.

Fuel Mix Trends in the Commercial Vehicle Segment

Diesel-powered vehicles continued to dominate the commercial vehicle market. In February 2026, diesel accounted for 83.50% of CV retail sales, slightly higher than the 81.97% share seen in January 2026 and the 82.97% recorded in February 2025.

Alternative fuel vehicles also maintained a notable presence. CNG and LPG-powered commercial vehicles together represented 11.04% of total retail sales, while electric commercial vehicles accounted for 2.03% of the market. The remaining share was distributed across petrol and other fuel types.

Year-to-Date Performance and Market Outlook

For the financial year-to-date period from April 2025 to February 2026, cumulative commercial vehicle retail sales reached 9,57,853 units. This represents an 11.34% increase compared with 8,60,318 units recorded during the same period of the previous financial year.

The segment’s growth remains broadly aligned with the overall automotive retail market, which posted a year-to-date increase of 12.13%. This alignment indicates stable expansion across the sector rather than isolated spikes in demand.

Looking ahead, industry stakeholders expect demand to remain supported by infrastructure activity, goods transportation requirements, and financial year-end procurement cycles. As fleet operators finalize purchases before fiscal closure, dealer pipelines remain strong. However, liquidity conditions and vehicle availability will continue to be closely monitored as the market moves from a rapid post-GST rebound toward a more stable growth phase in the coming months.