Tata Motors Passenger Vehicles Posts 22% YoY Growth in Q3 FY26; EV Sales Rise Nearly 50%

Tata Motors Passenger Vehicles Ltd. reported a strong performance in Q3 FY26, with combined domestic and international sales of 171,013 units, registering a 22.3 per cent year-on-year growth over 139,829 units sold in Q3 FY25. The robust showing reflects sustained demand for SUVs, accelerating electric vehicle adoption and improved market sentiment following recent policy reforms.

During the quarter, passenger vehicle (PV) domestic sales stood at 168,616 units, up 20.9 per cent YoY, while international business (IB) PV sales surged sharply to 2,397 units, delivering a growth of nearly 492 per cent. Total PV sales, including electric vehicles, reached 171,013 units, marking Tata Motors Passenger Vehicles’ highest-ever quarterly wholesales.

Electric Vehicle Sales See Strong Momentum

Electric vehicle volumes, including domestic and international business, continued their upward trajectory. EV sales rose to 24,103 units in Q3 FY26, compared to 16,119 units in Q3 FY25, translating into a 49.5 per cent year-on-year growth. In December 2025 alone, EV sales grew 24.2 per cent YoY, highlighting growing consumer confidence in cleaner and emission-friendly mobility solutions.

December 2025 Delivers Strong Growth

In December 2025, Tata Motors Passenger Vehicles recorded total PV sales of 50,519 units, a 14.1 per cent YoY growth over December 2024. EV volumes for the month stood at 6,906 units, while overall retail sales significantly exceeded wholesales, helping reduce dealer inventory levels to around 18 days, underlining the company’s focus on demand-led growth and healthy channel management.

Leadership Commentary

Commenting on the performance, Mr. Shailesh Chandra, Managing Director & CEO, Tata Motors Passenger Vehicles Ltd., said, “CY25 saw steady progress for the passenger vehicle industry powered by a growing preference for SUVs and accelerating adoption of cleaner, emission-friendly powertrains. For Tata Motors, it was the fifth consecutive year of record-breaking annual sales, with 587,218 units sold, including the highest-ever EV volumes of 81,125 units.”

He added that momentum from GST 2.0 reforms introduced in late Q2 FY26 further strengthened demand in Q3, resulting in record quarterly wholesales and retail sales crossing 200,000 units for the first time.

Strong Model and Segment Performance

The Tata Nexon emerged as a key growth driver, leading as India’s top-selling car/SUV in October and November, with sales of approximately 64,000 units in Q3 FY26, positioning it to retain segment leadership. The Tata Punchcontinued to dominate its segment, while the Tiago delivered robust growth, reinforcing its popularity among hatchback buyers.

Tata Motors’ multi-powertrain strategy also delivered strong results, with CNG volumes crossing 47,000 units, overall SUV volumes rising 18 per cent YoY, and EV sales growing by nearly 50 per cent, supported by longer driving range, lifetime battery warranty and price parity with ICE models.

New Launches and Outlook

Q3 FY26 also saw major product actions, including the unveiling of the Harrier and Safari petrol variants and the launch of the highly anticipated Tata Sierra, which has received an encouraging initial response.