FADA April’25 Commercial Vehicle Report

The April 2025 Commercial Vehicle (CV) Retail Report published by the Federation of Automobile Dealers Associations (FADA) exposes a complex scene typified by small reductions and sector-specific variations. Although the general automotive retail market grew by 3% year over year (YoY), the CV segment saw a 1.05% YoY drop with total retail sales falling from 91,516 units from 90,558 units in April 2024.

Market Dynamics and Affecting Agents

The performance of the CV category in April 2025 was molded by several interacting factors:

Original Equipment Manufacturers: They changed vehicle pricing in response to government reforms and input cost inflation. This had a cooling effect on buyer enthusiasm, especially in fleet operators with limited budgets.

Stagnant Freight Rates: Usually a dependable pulse of CV demand, the freight economy stayed still. Minimal change in freight rates meant fleet owners had no motivation to grow their businesses.

Particularly in the Small Commercial Vehicle (SCV) cargo sub-sector, limited fleet use rates hovered below ideal levels, therefore further deterring vehicle replacement or fleet augmentation.

A schedule filled with holidays and regional celebrations meant less working days, therefore slowing down inquiry flow and forcing numerous procurement decisions into May.

These apparently little ripples added up to a larger strain on performance, not severe enough to cause panic, but certainly enough to call for close inspection.

Section-wise Performance

Though generally declining, the CV category wasn't always negative.

A particularly fascinating exception is the bus segment. Bus demand stayed constant, mostly related to seasonal educational institution procurement and growing personnel mobility requirements.

Institutional sales are offering a cushion where government bids, school contracts, and business shuttle services—the market known as institutional buying. These large orders gave a usually slow retail trend some fleeting lift.

OEM- Wise Sales Distribution

Here now is where the story thickens. Not every OEM performed exactly like another. Some companies weathered headwinds more skillfully than others:

• Still the heavyweight for the sector, Tata Motors sold 30,398 vehicles. Still, from the 32,419 units in April 2024, this data shows a 6.23% YoY drop.

• Mahindra & Mahindra: A symbol of consistent change, Mahindra recorded a 1.73% YoY increase in selling 21,043 units vs 20,685 the year before.

• Ashok Leyland: Closing at 15,766 units against 16,639 units in April 2024, the commercial pillar witnessed a 5.25% YoY decrease.

• VE Commercial Vehicles (VECV): Quietly ascending. With 7,565 units sold—a 9.16% YoY rise—VecV showed that product diversity and focused market tactics still pay off.

• Force Motors: An insight. Rising from 1,858 units to 3,312 units in a single year, the firm posted an amazing 78.26% increase. Typically, this kind of expansion signals new contract wins or segment-first product introductions.

• Maruti Suzuki: Selling 3,200 cars against 3,409 units a year ago, the CV arm of this consumer favourite dropped by 6.13%.

• Daimler India (BharatBenz): Not extraordinary but rather steady. Selling 1,985 units, they dipped just slightly from 1,994 with a 0.45% decline.

• In a competitive mid-volume niche, SML Isuzu achieved an 8.70% increase and sold 1,199 units instead of last year's 1,103 consistent performance.

• Other names: From a prior 6,489, this bucket—often a combination of regional players and electric CV startups—dropped by 6%, totaling 6,090 units.

Comparative Performance in Other Vehicle Types

Comparing the CV segment's narrative versus other automotive verticals helps one to put it in perspective:

Two-wheelers tracked a 2.25% YoY rise. This still captures metropolitan affordability trends as well as rural mobility needs.

Three-wheelers show an amazing 24.5% YoY increase. Especially electric, a mix of passenger and cargo models drove this number stratospheric.

Passenger Vehicles (PV): Maintaining demand led by new releases and SUV appeal, posted a small but consistent 1.55% gain.

Thanks to good Rabi output and solid rural liquidity, Rose by 7.5% YoY.

Thus, even if resumes lagged, the larger auto ecosystem buzzed with subdued hope.

Outlook for 2025: What Lies Ahead?

• Agriculture Tailwinds: Rural India might provide some fresh vitality to the SCV and tractor divisions given its excellent harvest season.

• Hopes for fleet renewal should industrial output rise and cargo rates show even little improvement, some pent-up replacement demand could surface.

• Especially for last-mile deliveries, electric three-wheelers keep nibbling into the market share of conventional cargo movers. The CV sector might have to vary its products if it is to remain competitive.

• OEM Anticipated Stimulus: Seasonal or performance-linked expected reward programs could set off temporary retail increases.

Still, the general feeling is still wary. Even green shoots will take time to fully blossom given high interest rates, limited consumption in some urban areas, and competition from alternative transportation options such rail and shared mobility.

• 

Conclusion 

The commercial vehicle report for April 2025 acts as a mirror reflecting resilience as well as opposition in equal measure. Although a 1.05% YoY decline may seem statistically little, the underlying signals—OEM performance variance, segment stagnation, price pressures, and freight stagnancy—paint a picture significantly more rich in complexity.

Data from FADA indicates that the sector is stopping rather than failing. It's ready. To enable sentiment to level off. For loads to be picked up. For rules to start to take effect. And for fleet owners to regain their footing once more in a changing, tech-tinted environment.
Check out  91trucks if you are thinking about buying a new or used truck for your business and all your other commercial vehicle needs. Get comprehensive reviews, specifications, and best offers for your company's requirements. Stay updated with the most recent news and stories on 91trucks. To find the latest automotive industry videos and updates, subscribe to our YouTube channel and follow us on Facebook, Instagram, and LinkedIn!