New Delhi, June 9 -- India's two-wheeler industry is poised to surpass pre-COVID-19 sales levels, with an anticipated volume growth of 8-9 per cent in fiscal year 2026 (FY26), fuelled by rate cut by Reserve Bank of India ( RBI), a substantial recovery in exports and robust domestic demand, according to a report by CareEdge Ratings.

"The cumulative 100 bps rate cut by the RBI since February 2025, with the recent 50 bps rate cut announced last week, is expected to enhance affordability and boost demand," said Madhusudhan Goswami, Assistant Director at CareEdge Ratings.

Over the past three fiscal years, the Indian two-wheeler industry has demonstrated healthy volume growth of 8 per cent in FY23, 10 per cent in FY24, and 11 per cent in FY25...