The auto pack posted a strong show in Jan-26, with robust growth across 2Ws, PVs, and CVs indicating demand sustaining in the near-term following the recent GST cuts/festive season. Key observations: 1) 2Ws delivered a robust performance, with domestic volume up >25% YoY along with sustained exports momentum; some moderation was visible in EIM RE. 2) In PVs, TMPV surprised with 46% growth – M&M retained its growth trajectory; HMIL saw 10% growth in Jan-26 after a nearly 2Y weak show in domestic dispatches; PV industry retails growth was limited to 6% after 2M of ~20-25% growth. 3) The MHCV industry is sustaining its growth momentum, with TMPV and AL posting >40% growth in MHCV truck volumes; Industry retails also remain on an upward trajectory. 4) Tractors continue to fare well, given favorable macros and GST cut-led demand momentum. 5) E-2W penetration was ~6.6% vs 7.4% in Dec-25, while the industry logged 24% volume growth in Jan-26; E-3W penetration remains at >30%, albeit slightly lower MoM; E-PV penetration is stable at 3.9%. Demand sustaining beyond the near-term GST cut-led euphoria is monitorable.

2Ws: Strong growth momentum at TVSL and HMCL; growth moderation at EIM
TVSL posted a strong 28% growth, led by both motorcycles/scooters posting over 25% YoY growth and healthy exports traction (+18% YoY). HMCL too saw robust growth, of 26% in overall dispatches, led by 24%/46% growth in motorcycles/scooters. EIM RE witnessed some moderation in growth, with overall volume up 15% led by domestic dispatches, while exports growth was muted at ~4.5%. 2W industry retails picked up pace, with volume up 21% YoY. E-2W penetration stood at 6.6% in Jan-26 vs 7.4% in Dec-25, while the industry posted 32% YoY volume growth. TVSL upheld its dominance, with BJAUT/Ather at #2/#3, respectively (BJAUT has yet not reported its numbers).