Tata Motors Beats Mahindra To Become No. 2 Carmaker in April-September

Tata Motors has overtaken Mahindra & Mahindra to become India's second-largest passenger vehicle manufacturer by domestic dispatches during the first half of FY2026–27. Strong demand for SUVs and electric vehicles helped Tata Motors move ahead of Mahindra between April and September 2026.

According to industry data, Tata Motors dispatched more than 3.9 lakh passenger vehicles in the domestic market during the six-month period, registering a 43% year-on-year increase. Mahindra recorded just under 3.6 lakh units, with dispatches growing by around 20%. Maruti Suzuki continued to hold the top position in India's passenger vehicle market.

Tata Motors Gains Ground With SUVs

Tata Motors' strong performance was supported by rising demand for its utility vehicles. Dispatches in this segment increased by 59% during April–September 2026, helping the company strengthen its position against Mahindra.

Models such as the Nexon, Punch, Harrier and Safari form an important part of Tata Motors' SUV portfolio. The company's multi-powertrain strategy, which includes petrol, diesel, CNG and electric options across its range, also allows it to cater to different customer requirements.

Mahindra Records Strong EV Growth

Although Mahindra slipped to third place, it continued to record healthy growth in the passenger vehicle segment. Its electric SUV portfolio also gained momentum during the period.

Combined domestic dispatches of Mahindra's BE and XEV electric models rose 82% to 42,338 units between April and September 2026. Electric vehicles accounted for 11.8% of the company's passenger vehicle volumes, up from 7.8% in the same period a year earlier.

However, manufacturer-wise data does not separately identify Tata Motors' electric vehicle dispatches, making a direct comparison of the two automakers' EV performance difficult.

Indian Passenger Vehicle Market Sees Strong Growth

The broader Indian passenger vehicle market also expanded during the first half of FY2026–27. Total domestic dispatches increased by 28.3% year-on-year to approximately 26.4 lakh units between April and September 2026.

The latest rankings highlight the growing importance of SUVs and electric vehicles in India's automotive market. While Tata Motors has moved into second place for the six-month period, Mahindra continues to see strong demand for its SUV and electric vehicle line-up.