India Feb. two-wheeler retail sales fall to 1.7M units: FADA

India Feb. two-wheeler retail sales fall to 1.7M units: FADA

India’s February Two-Wheeler Retail Sales Decline to 1.7 Million Units: FADA Report

India’s two-wheeler retail sales fell to 1.35 million units in February 2025, marking a 6.33% year-on-year (y-o-y) decline, according to data from FADA. This contributed to an overall drop in total auto retail sales to 1.90 million units for the month, a 7.19% y-o-y contraction. The two-wheeler segment, which accounts for a significant share of India’s auto market, faced challenges including inventory imbalances, aggressive pricing post-OBD-2B emission norms, weak consumer sentiment, and limited finance availability as reported.

The broader auto retail market saw declines across all segments. Passenger vehicles (PVs) fell 10.34% y-o-y to 303,398 units, while commercial vehicles (CVs) dropped 8.60% y-o-y to 82,763 units. The tractor segment also declined sharply by 14.50% y-o-y according to FADA data. FADA highlighted that dealers raised concerns about OEMs pushing inventory without their consent, risking unmanageable stock levels amid cyclical demand fluctuations as noted.

Despite February’s downturn, the two-wheeler market showed resilience in December 2025, with sales rising 9.5% y-o-y to 13.17 lakh units, driven by strong performance from brands like Royal Enfield (+48.6% y-o-y) and TVS Motor (+24.3% y-o-y) according to Bike Junction. However, February’s weak performance underscores ongoing headwinds, including a five-month decline in stock markets, which has dampened consumer confidence and discretionary spending as reported.

FADA’s cautiously optimistic outlook notes that 45% of dealers anticipate growth, while 40% expect flat performance. Seasonal factors, such as festivals and year-end depreciation benefits, may provide a near-term boost. Nevertheless, aligning wholesale allocations with genuine demand remains critical to sustaining dealer viability and healthy inventory management as FADA observed.

(https://www.indiatoday.in/auto/latest-auto-news/story/auto-retail-sales-take-hit-in-february-inventory-being-pushed-without-dealers-consent-2689776-2025-03-06): Federation of Automobile Dealers Associations (FADA) February 2025 retail sales data. (https://www.linkedin.com/posts/bike-junction_fadasales-twowheelerindustry-motorcyclemarket-activity-7414540602190770176-z0ke): FADA December 2025 two-wheeler sales report via LinkedIn.