New Delhi, Sept. 23 -- The demand upcycle in the passenger vehicle (PV) segment could continue up to FY29, supported by GST 2.0 reforms and a strong outlook for the automobile sector, according to a report by Nuvama.

The report highlighted that volumes in the PV segment saw their trough in FY21. The segment crossed its previous peak in FY23 and is now on track to create new peaks.

It stated, "PV is at a mid to advanced stage of the upcycle. Average/maximum duration of upcycle as per historical data is six/eight years; hence, upcycle can continue up to FY27/FY29."

On the broader industry outlook, the report said that healthy demand is expected across two-wheelers (2Ws), tractors, and PVs.

This momentum is being driven by GST cuts of up...