New Delhi, Feb. 17 -- The Indian automotive industry is projected to experience a normalisation of wholesale volume growth, with a moderate expansion of 3-6 per cent expected across various segments in the 2026-27 fiscal year. This follows a period of elevated growth in the latter half of 2025-26, which was primarily driven by post-GST reform factors and favourable rural demand.

According to ICRA, domestic passenger vehicle (PV) volumes are estimated to grow by 4-6 per cent year-on-year (YoY) in 2026-27, supported by sustained demand momentum. Simultaneously, the two-wheeler industry (2W) is likely to expand by 3-5 per cent as growth moderates on an improved base. Commercial vehicle (CV) volumes are expected to remain driven by economic ...