India’s commercial vehicle industry volume likely to touch record 12.4 lakh units in FY27

New Delhi, April 25: India’s commercial vehicle (CV) industry is expected to touch record volume of roughly 12.4 lakh units in fiscal 2027, surpassing the previous peak of fiscal 2019, a report said on Saturday.
The industry posted a strong 13 per cent rebound in fiscal 2026, and the high base will lead to moderation in growth to 5–6 per cent in FY27, the report from Crisil Ratings said.
Domestic demand will remain supportive, buoyed by infrastructure-led activity, steady replacement demand, and boost from GST rate cuts.
Exports, however, could see some near-term disruptions due to the ongoing developments in West Asia, the report added.
The domestic market drives around 92 per cent of the overall volume. The GST rate cut boosted purchase economics, unlocking deferred demand.
“Exports, at roughly 8 per cent of overall CV volume, may see a sharp deceleration to 2–4 per cent growth in fiscal 2027 from roughly 17 per cent in fiscal 2026,” said Poonam Upadhyay, Director, Crisil Ratings. (IANS)