Summary:

Domestic commercial vehicle (CV) volumes are expected to reach one million in FY26, matching the pre-pandemic peak of FY19, according to Crisil. This growth is driven by infrastructure expansion, vehicle replacement needs, and support from the PM-eBus Sewa scheme. Light commercial vehicles (LCVs), fueled by e-commerce and storage demands, will account for 62% of total volumes. Additionally, demand from the cement and mining sectors will contribute to overall growth.

Crisil forecasts a 2-4% increase in medium and heavy commercial vehicle (M&HCV) volumes, driven by infrastructure projects in construction, highways, and metro rail. LCVs are expected to grow 4-6% in Tier 2 and 3 cities, fueled by increased e-commerce and warehousing. The PM-eBus Sewa scheme will boost demand for electric buses. Overall, commercial vehicle volumes are likely to rise by 3-5%, supported by lower inflation and replacement demand

Source: IBEF

Disclaimer:

The information on this website comes from the India Brand Equity Foundation (IBEF), a reliable source for thorough insights into numerous areas of the Indian economy. While we aim to offer accurate and up-to-date information, the views, opinions, and analyses stated herein are solely those of the authors and contributors and do not necessarily represent IBEF's official stance or position. Readers should check information from credible sources and use their own discretion when relying on content provided on this site. We assume no responsibility or liability for the supplied content, including its accuracy, completeness, and usefulness.