The Indian two-wheeler industry concluded the 2025 calendar year on a positive trajectory, recording a total of 2,02,95,650 retail units. Data released by the Federation of Automobile Dealers Associations (FADA) indicates a 7.24% year-on-year growth compared to the 1,89,24,815 units sold in 2024. This momentum was largely sustained by the implementation of revised GST 2.0 rates in September, which reduced acquisition costs for vehicles in the sub-350cc category.
December 2025 Market Analysis
In the final month of the year, retail volumes reached 13,16,891 units, representing a 9.5% increase over December 2024. However, the market saw a sharp month-on-month contraction of 48.28% compared to November 2025, which had peaked at 25,46,184 units due to festive demand. Honda Motorcycle and Scooter India (HMSI) emerged as the market leader for the month, reporting 3,56,128 units and securing a 27.04% market share. In contrast, Hero MotoCorp saw a year-on-year decline in December, falling to 2,90,813 units from 3,29,152 units in the previous year.
Annual OEM Performance and Rankings
For the full calendar year (CY25), Hero MotoCorp maintained its position as the highest-volume manufacturer, though competition from Honda and TVS intensified. The annual retail figures for major manufacturers are as follows:
- Hero MotoCorp: 58,23,063 units (28.69% market share)
- Honda Motorcycle and Scooter India: 50,37,953 units
- TVS Motor Company: 37,88,459 units
- Bajaj Auto: 21,55,166 units (a marginal decline from CY24)
- Suzuki Motorcycle India: 10,97,838 units
- Royal Enfield: 10,34,155 units
Royal Enfield demonstrated significant growth, particularly in the 350cc segment, rising from 8.16 lakh units in 2024. Yamaha also posted gains, ending the year with 6,76,555 retail units.
Realignment in the Electric Two-Wheeler Segment
The electric vehicle (EV) landscape witnessed a significant shift in leadership during 2025. Ather Energy overtook Ola Electric to become the segment leader by volume, recording 2,00,797 annual retail units. Ola Electric experienced a substantial downturn, with its annual sales dropping to 1,99,318 units from 4,07,700 units in 2024. Other EV players showed varied results; Greaves Electric Mobility (Ampere) grew to 56,486 units, while River Mobility saw a surge in December retail following the introduction of targeted promotional offers for its Indie scooter.
Niche and Premium Segments
Classic Legends, comprising the Jawa, Yezdi, and BSA brands, reported an upward trend with 38,501 units for the year. Conversely, Piaggio saw its annual retail sales soften to 32,258 units from 34,819 units in the preceding year. Overall, the industry benefited from a stronger second half in 2025, supported by tax incentives and consistent consumer demand for both entry-level and mid-capacity motorcycles.
