Passenger vehicles.

Passenger-vehicle assembly is a ₹1.3 lakh crore value-added industry in FY26 (0.41% of national GVA) built on ex-factory revenue of roughly ₹5.5 lakh crore, with six manufacturers making 93% of the ~4.5 million cars sold domestically and Maruti Suzuki alone making two in five. Value added in assembly is a modest slice of the car's price because 70-75% of cost is bought-in material, but the industry pulls a much larger economic chain of components, dealers, financiers and the exchequer behind it. Its trajectory is a low-penetration, large-volume story: India has just 38 cars per 1,000 people versus 240 in China, and the base case sees penetration reach 65 by FY35 alongside a continued SUV mix shift and rising small-car exports. Growth is driven by household income, credit penetration (80% financed), the September-2025 GST rationalisation and a roughly eight-year replacement cycle, while remaining cyclical and exposed to crude, rates and commodity costs.

Domestic sales

~4.5 mn units · FY26

Industry revenue (ex-factory)

~5.5 ₹ lakh crore · FY26

Listed market cap (4 OEMs)

~11 ₹ lakh crore · Jul-2026 spot

Direct employment (OEM payroll incl. contract)

~0.2 mn · FY26

Exports

~10 US$ bn (~0.9 mn units, 17% of output) · FY26

OEM capex

~30,000 ₹ crore (~6% of revenue) · FY26

Cars per 1,000 people (India)

38 cars/1,000 people · FY26

CR3 / CR5

66 / 87 % · FY26