Vehicle retail sales fall 23.8% in October as Diwali moves to November

India's vehicle retail sales were 31,72,466 units in October 2026, according to the Federation of Automobile Dealers Associations (FADA). That is 23.80% lower than October 2025 and 25.05% higher than September 2026. It is the second-highest October on record.

Why the yearly number fell

FADA says the main reason is the festive calendar. In October 2025, Navratri and Diwali fell together and GST rate cuts added to demand. In 2026 the big festivals fall in November.

Segment by segment

• Two-wheelers: 23,21,419 units, up 29.67% on September. Rural sales fell 33.97% and urban sales 20.77% on last year.
• Passenger vehicles: 5,07,768 units, the third-best October on record. Dealers held 43 to 45 days of stock.
• Commercial vehicles: 1,15,140 units, a record. Up 2.29% on last year and 11.19% on September. Heavy commercial vehicles rose 28.95%.
• Three-wheelers and tractors: both had their highest-ever October sales. FADA's report as covered here gave no unit figures for them.
• Electric vehicles: about 3.55 lakh units, an all-time high and up 44.88% on last year. EVs were about 11.5% of all sales.

What dealers expect in November

• 51.65% of dealers expect sales to grow, helped by Dhanteras and Diwali.
• 34.71% expect sales to stay stable.
• 13.64% expect a fall.

FADA president Sai Giridhar expects the festive season to support retail growth and bring passenger-vehicle stock down to about 30 days by year-end.

What this means for you

• Showrooms and service centres are likely to stay busy in November, so sales, delivery and mechanic roles may see more openings.
• A record month for commercial vehicles points to steady work for truck and goods-vehicle drivers.
• The yearly fall is a calendar effect. Compare it with the November and December numbers before judging demand.