• Two-wheeler searches surged 306% Pan-India (Sep–Mid Oct 2025 vs Mid Jul–Aug 2025), led by Delhi (+161%), Mumbai (+174%), Hyderabad (+129%), Pune (+150%), Chennai (+143%), and Bangalore (+116%)
  • Four-wheeler searches rose 193% Pan-India over the same period, with major traction in Bangalore (+153%), Mumbai (+125%), Pune (+123%), and Delhi (+80%)
  • Justdial data highlights that the dual impact of GST reduction and festive momentum has fuelled a sharp rise in automobile-related searches across metros and emerging cities

Mumbai: With the festive season already setting the stage for high-value purchases, India’s automobile market is witnessing renewed energy, a trend further amplified by the recent reduction in the Goods and Services Tax (GST), which has improved affordability and boosted consumer sentiment across vehicle categories.

Under the revised structure, small cars (petrol engines up to 1,200 cc / diesel up to 1,500 cc and up to 4,000 mm in length) are now taxed at 18% instead of 28%, while larger-capacity vehicles attract a flat 40% rate. This change is expected to make entry-level and compact vehicles significantly more affordable for buyers.

According to data from Justdial, India’s No. 1 local search engine, automobile-related searches have surged sharply in recent months, reflecting the combined influence of festive buying momentum and the GST cut. To gauge this shift, Justdial compared search trends between September–Mid October 2025 and Mid July–August 2025.

During this period, two-wheeler searches spiked 306% Pan-India, underscoring strong consumer response to improved price accessibility and festive buying sentiment. Delhi (+161%), Mumbai (+174%), Pune (+150%), Hyderabad (+129%), Chennai (+143%), and Bangalore (+116%) emerged as the leading growth markets.

Four-wheeler searches mirrored this enthusiasm, growing 193% Pan-India in the same period. Demand accelerated in Bangalore (+153%), Mumbai (+125%), Pune (+123%), and Delhi (+80%), highlighting how the GST cut has encouraged both first-time buyers and upgraders in the mid- and premium segments.

Together, the data reveals that policy reform and festive optimism are jointly fuelling India’s automobile revival. The GST rate cut has expanded affordability, while the festive season, traditionally associated with new beginnings and major purchases, is amplifying intent across both two- and four-wheeler segments.

With search volumes rising across metros and Tier-II cities alike, Justdial’s findings signal a market firmly in motion, where affordability, aspiration, and accessibility are converging to power India’s next wave of automobile growth.

APPENDIX

GST Effect 2025 (Sep–Mid Oct’25 vs Mid Jul–Aug’25)

Two-Wheeler:

  • Pan India – 306%
  • Delhi – 161%
  • Mumbai – 174%
  • Hyderabad – 129%
  • Pune – 150%
  • Chennai – 143%
  • Bangalore – 116%

Four-Wheeler:

  • Pan India – 193%
  • Delhi – 80%
  • Pune – 123%
  • Mumbai – 125%
  • Bangalore – 153%