India's Car Market in June 2025: Winners, Losers & What’s Next

India's Car Market in June 2025: Winners, Losers & What’s Next

The first half of 2025 has been a dynamic time for India's auto industry, with June turning out to be a crucial month. Some automakers gained ground while others lost it as a result of changing consumer preferences, the acceleration of EV adoption, and changing government regulations. Here is a thorough analysis of the winners, losers, and future prospects.

June 2025 Winners

1. The Tata Motor Company

Tata increased its market share significantly in June and is still the industry leader in the electric vehicle sector. Strong results from the Punch.ev and Nexon.ev facelift were mostly attributable to:

  • Competitive rates

  • Increased range (now more than 400 km)

  • Better collaborations on charging infrastructure

Stats Highlight: Sales of Tata's EV portfolio increased by 32% month over month.

2. Hyundai India

Hyundai performed well because of:

  • The redesigned Creta continues to lead the SUV market.

  • When the Exter Turbo variant was introduced, Tier-2 and Tier-3 cities saw strong demand for it.

  • Additionally, they benefited from fewer problems with chip shortages, which improved delivery times.

3. Mahindra and Mahindra

With the XUV700 and Scorpio-N still in demand, the SUV-focused brand had another strong month. The recently released 5-door Thar model was particularly noteworthy.

Strong brand loyalty and Mahindra's emphasis on rural and semi-urban markets continue to be profitable.

June 2025 Losers

1. Suzuki Maruti

Even though Maruti had the largest market share overall, it struggled in the premium SUV and EV markets.

  • EV delay: It is now anticipated that they will only launch a mass EV in Q4 2025.

  • Insufficient SUV selection in contrast to Hyundai, Mahindra, and Tata

  • Older models like the Alto and Celerio saw a steep drop in sales as a result of new safety and emission standards.

2. Nissan and Renault

The Renault-Nissan partnership faced difficulties with:

  • Few new releases

  • Metro areas have low after-sales satisfaction ratings

  • Minimal visibility in the EV market

Customer interest in the Kiger and Magnite has decreased in the absence of major updates.

3. The Kirloskar Toyota

Toyota's June numbers decreased somewhat despite the Innova HyCross's popularity, primarily because of:

  • Long wait times

  • Limited selection of hybrid vehicles at lower price points

  • Tata and Hyundai are becoming more competitive in the hybrid/EV market

Upcoming Trends to Keep an Eye on in H2 2025

1. EV Adoption to Accelerate

The FAME III policy, which will provide improved subsidies for individual EVs, is anticipated to go into effect in August 2025.

  • Growth of charging infrastructure in Tier-2 and Tier-3 cities

  • Tata, MG, and Mahindra are anticipated to produce more reasonably priced EVs

2. Integration of AI and Connected Technology

Automobiles are becoming more intelligent. Anticipate:

  • Improved infotainment (real-time diagnostics, voice assistants)

  • Connected services that are subscription-based

  • Mid-range SUVs are starting to come equipped with ADAS

3. Hybrid Surge

Hybrids are becoming more popular as EV infrastructure continues to develop. It is probable that Honda, Toyota, and Maruti will introduce additional models in this market.

4. Regulations for Sustainability

Buyer behaviour is already being impacted by the BS7 emission standards, which are anticipated to be implemented in early 2026. Numerous diesel versions are being phased out.

5. New Investments & Entrants

India is attracting the attention of BYD, VinFast, and Tesla once again. Later this year, new assembly lines and plants should be announced.

Professional Perspective

Value is still paramount for Indian consumers, but they are also becoming more tech-savvy, sustainable, and fuel-efficient. A pivotal moment that amply demonstrated this change occurred in June 2025.
Rohan Mehta, Auto Analyst

Concluding Remarks

In June 2025, India's automobile market was a reflection of a larger shift rather than merely a collection of numbers. The market is more competitive and customer-focused than ever, with EVs taking centre stage and established brands adjusting to the new reality.

If you intend to purchase a vehicle or make an investment in auto stocks, pay attention to:

  • Brands' EV-readiness

  • Integration of technology

  • Changes in government policy

There will likely be even more excitement in the second half of 2025.

How do you feel about the auto market in June 2025? Do you support ICE, Team Hybrid, or Team EV? Let's talk about it in the comments!

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