The Indian automotive industry witnessed a landmark shift in 2025 as Mahindra & Mahindra climbed to the second position in annual passenger vehicle sales. This achievement marks a decisive breakthrough for the homegrown manufacturer, which successfully outpaced long-established rivals Hyundai Motor India and Tata Motors. Securing the runner-up spot underscores Mahindra's growing influence in the market, driven by its expanding SUV portfolio and strong consumer demand.
Government's Vahan portal data up to December 25, 2025, confirms Mahindra's remarkable achievement of registering 5.81 lakh units. This figure allowed the Mumbai-based SUV specialist to surpass Tata Motors, which recorded 5.52 lakh units, and Hyundai, at 5.50 lakh units. It marks the first time in history that a homegrown manufacturer focused solely on utility vehicles has outsold mass-market rivals offering a wider mix of hatchbacks and sedans. Meanwhile, Maruti Suzuki retained its crown as market leader, posting 17.50 lakh units.
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Mahindra's rise to the number two position was no accident but the outcome of a carefully planned product strategy that gained momentum in early 2025. Established combustion-engine models like the Scorpio-N, Scorpio Classic, and Thar Roxx built the foundation, while the company's bold push into premium electric SUVs delivered the decisive edge.
The BE 6e and XEV 9e, launched in early 2025, have collectively sold over 38,000 units, securing a high share of India's EV market. Their success validated Mahindra's high-stakes bet on its INGLO electric architecture. Building on this momentum, Mahindra unveiled the XEV 9S in November 2025, a flagship 7-seater electric SUV priced from Rs 19.95 lakh, featuring 59-79 kWh battery options and a triple-screen dashboard, poised to strengthen its position further in 2026.
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Tata Motors secured third place with 5.52 lakh units in 2025, staging a strong Q4 comeback powered by the Curvv and updated Nexon. Despite holding a commanding share in the EV segment, Tata's internal combustion growth lagged behind Mahindra's double-digit surge, highlighting shifting market dynamics. Meanwhile, Hyundai slipped to fourth with sales of 5.50 lakh units in CY25.
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