Tax boost accelerates small SUV sales in India, while hatchbacks lag behind | Hindustan Times

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Hatchbacks and small cars have been gradually losing market share over the recent years, while SUVs continue to account for the majority of volumes

Tax boost accelerates small SUV sales in India, while hatchbacks lag behind

Following the GST rate cuts in September 2025, India's passenger vehicle market witnessed a significant shift towards compact SUVs, with their market share rising to 57% in October. Despite this trend, Maruti Suzuki observed a mild rebound in hatchback sales, with small-car volumes outpacing SUVs in October, signaling potential resilience in the entry-level segment.

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