Tata Motors Becomes Second Largest Carmaker In Q3 FY26 on Nexon, Sierra Boost

Tata Motors Passenger Vehicles Ltd. overtook Hyundai Motor India and Mahindra & Mahindra to become the country's second-largest passenger vehicle maker in the October-December quarter of fiscal 2026, driven by robust demand for the Nexon compact SUV and early volumes from the newly launched Sierra, according to government vehicle registration data.

Data from the Ministry of Road Transport and Highways' Vahan portal shows Tata Motors registered 1.89 lakh passenger vehicles in the third quarter of FY26. This placed it ahead of Mahindra's 1.80 lakh units and Hyundai's 1.70 lakh units during the same period. The automaker also ranked second in December 2025, continuing the upward trajectory seen in the latter half of the year.

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For the full calendar year 2025, Tata Motors remained India's third-largest passenger vehicle manufacturer, behind Maruti Suzuki and Mahindra. Tata recorded 5.92 lakh units for the year, while Mahindra achieved 6.07 lakh units, and Maruti retained its leadership position in the segment.

Tata's performance improved notably in the second half of 2025, largely on the back of the Nexon, which became India's best-selling passenger vehicle in both October and November. The compact SUV maintained steady demand across its petrol, diesel, and electric variants, supporting overall volume growth. In addition, the company began benefiting from initial sales of the Sierra SUV, reintroduced to the market in late 2025.

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According to Vahan data, Tata Motors sold 51,963 units in December 2025, compared to Hyundai's 48,312 units and Mahindra's 47,493 units. The brand's improved supply situation, broader SUV mix, and consistent electric vehicle performance contributed to the quarter's gains.

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The brand plans to further expand its reach among consumers by introducing new models in 2026. The list will include refreshed versions of the models already on sale, along with new nameplates like Avinya. Among these, there will be multiple electric powertrains.