India's foremost SUV manufacturer, Mahindra, has surpassed the Korean automotive giant Hyundai Motor to become the second largest carmaker in the country, following Maruti Suzuki. This achievement is largely attributed to the remarkable performance of its SUV lineup, which includes models such as the Scorpio-N, Thar Roxx, XUV700, and XUV 3XO. Mahindra experienced a notable increase of 19 percent in the utility vehicle segment, contributing to a rise in its overall sales within the domestic passenger vehicle market. This growth has enabled Mahindra to surpass not only Tata Motors but also Hyundai in car sales for February of this year.

Renowned for its robust and adventurous SUVs, Mahindra offers a diverse portfolio of at least seven models, including the Bolero, Bolero Neo, and Scorpio Classic. Additionally, the company is enhancing its presence in the electric vehicle sector with the upcoming launches of the BE6 and XEV 9e electric SUVs. These models are set to begin their market introduction later this month, which is anticipated to further strengthen Mahindra's standing as India's second largest carmaker in terms of sales in the coming months.

Mahindra vs Hyundai: Sales race to the top

Mahindra has experienced a notable increase in domestic sales since it began updating its SUVs with contemporary design elements and advanced features. The journey commenced with the launch of the new generation Thar three-door SUV in 2020, during the Covid pandemic, and has continued with the introduction of the five-door variant known as the Thar Roxx. This strategic shift has allowed Mahindra to compete effectively with leading manufacturers such as Toyota, Tata, and Hyundai.

In February, Mahindra reported sales of 50,420 SUVs across India, a significant rise from the 42,401 units sold in the same month the previous year. The Scorpio-N, XUV 3XO, XUV700, and Thar Roxx are among the best-selling models in Mahindra's lineup. Veejay Nakra, President of the Automotive Division at Mahindra, attributed this robust performance to the sustained positive momentum of their SUV portfolio. Additionally, Mahindra's exports surged to 3,061 units during this period, marking an almost 100 percent increase compared to the 1,539 units exported in February of the previous year.

In contrast, Hyundai Motor Company experienced a decline in domestic sales last month, recording 47,727 units, which represents a nearly five percent decrease from the 50,201 units sold in the same month last year. Hyundai's sales in India are primarily driven by its three SUVs: the Creta, Venue, and Exter. The company also markets the Alcazar and Tucson SUVs, along with smaller vehicles such as the i10 and i20, and sedans like the Aura and Verna. Furthermore, Hyundai offers two electric SUVs, the Creta EV and Ioniq 5.

Hyundai anticipates an uptick in domestic car sales in the near future, which could assist in maintaining its status as India's second-largest car manufacturer. The Korean automotive giant remains optimistic that, despite geopolitical challenges, the new tax reforms introduced in the Union Budget 2025 will stimulate demand for its vehicles in the coming days.

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