New Delhi: In February 2025, Mahindra & Mahindra (M&M) created history by overtaking Hyundai Motor India to achieve the position of the second-largest carmaker in India. This is a significant occurrence in the automotive sector, reflecting how market trends and customer preferences are changing.
Sales performance leads by Mahindra:
Mahindra sold 50,420 vehicles in India in February 2025, which is 19% more than the 42,401 units it sold in February 2024. On the other hand, Hyundai’s sales dropped by 4%, with 47,727 cars sold, down from 50,201 the previous year. This allowed Mahindra to take Hyundai’s long-held second place in domestic sales.
Tata Motors ranked fourth with 46,435 units sold, down 9% from last year’s 51,267 units. Maruti Suzuki, on the other hand, remained the market leader, selling 160,791 units, up slightly from last year’s 160,271.
What contributed to Mahindra’s supplanting of Hyundai?
One key explanation behind Mahindra’s success is the robust demand for its SUVs. In contrast to some of its competitors who were forced to make large discounts to sell their vehicles, Mahindra’s vehicles are selling briskly without deep price reductions.
Its second major victory came in the form of the roll-out of its new electric SUVs, XEV 9e and BE 6, which received an astounding 30,179 bookings on the first day itself. This indicates that consumers are seriously interested in buying Mahindra’s new cars, particularly electric vehicles (EVs).
Mahindra has also been steadily increasing over the last year. Between April 2024 and February 2025, its sales of SUVs rose by 20%, with more than 5 lakh units sold in India.
Why is Hyundai Struggling?
Hyundai, which used to be a solid second in the Indian market, hasn’t been launching as many new models lately. Their first made-in-India electric car is just a version of their popular Creta SUV. Meanwhile, Hyundai’s other best-selling cars, Venue and Exter, are facing tough competition from rival brands.
But Hyundai is still performing well in exports. If we include both domestic and overseas sales, Hyundai still leads Mahindra, with a combined total of 58,727 units sold in February 2025, whereas Mahindra sold 52,386 units.
Is Tata Motors, falling behind?
Tata Motors, another industry giant, also witnessed a decline in sales. It sold 46,435 vehicles in February 2025, down 9% from the same month last year.
Even in the electric vehicle (EV) space, Tata experienced a decline of 22%, selling a mere 5,343 EVs as against 6,923 in February 2024. This implies that Tata may have to revamp its strategy to remain in the race.
