Festive Cheer and GST Cut Drive 306% Surge in Two-Wheeler Searches Across India: Justdial Report

October 30, 2025 – Mumbai: India’s automobile market is witnessing a powerful resurgence this festive season, driven by a combination of GST rate reduction and heightened festive buying momentum. According to the latest data from Justdial, two-wheeler searches surged 306% Pan-India between September–Mid October 2025 and Mid July–August 2025, while four-wheeler searches rose 193% over the same period.

The findings highlight how improved affordability, policy reform, and festive optimism are jointly fuelling India’s automotive revival across metros and emerging cities.

Two-Wheeler Searches Soar 306% Nationwide

Justdial data shows that the demand for two-wheelers has exploded across key Indian cities as buyers respond positively to reduced prices and festive offers.

• Delhi: +161%
• Mumbai: +174%
• Hyderabad: +129%
• Pune: +150%
• Chennai: +143%
• Bangalore: +116%

The surge underscores renewed interest among both first-time buyers and urban commuters looking for affordable, efficient mobility solutions.

Four-Wheeler Demand Accelerates 193% Pan-India

Four-wheeler searches also witnessed a sharp 193% rise during the same period, signalling strong consumer intent across segments — from entry-level hatchbacks to premium SUVs.

• Bangalore: +153%
• Mumbai: +125%
• Pune: +123%
• Delhi: +80%

Industry experts note that the GST reduction has significantly influenced this uptick, making compact and mid-sized cars more accessible to a wider audience.

GST Reduction Boosts Affordability and Buyer Sentiment

Under the revised GST structure, small cars — petrol engines up to 1,200cc or diesel up to 1,500cc (under 4,000mm length) — are now taxed at 18% instead of 28%, while larger-capacity vehicles attract a flat 40% rate. This move has enhanced affordability, particularly in the compact car segment, and revived market confidence among budget-conscious buyers.

Festive Momentum Powers India’s Auto Revival

The festive season, traditionally associated with auspicious purchases and new beginnings, has amplified buying intent across both two- and four-wheeler categories. Together with the GST reform, this has created a dual-impact scenario driving robust growth in consumer interest.

Tier-II Cities Join the Celebration

While major metros like Delhi, Mumbai, Bangalore, and Pune lead the charge, Justdial data also indicates strong participation from Tier-II and Tier-III cities — a clear sign that India’s automobile demand revival is broad-based and inclusive.

A Market in Motion

The sharp rise in search activity reflects India’s evolving automobile landscape, where affordability, aspiration, and accessibility are converging. With the festive season in full swing and policy measures improving sentiment, India’s automotive sector is poised for sustained growth through late 2025 and beyond.