Bike Division to view 6-9% volume increase in Financial Year 26: Report

The domestic two-wheeler department is expected to increase 9-9 percent a year in the current financial year, the rating firm ICRA said on Monday. Demand for stable change, recovery in urban use, healthy rural incomes helping normal monsoon and potential reduction in GST rates are likely to support this increase, which can provide additional boosts.

The FY 2026 industry approach is positive, the favorable demand operators are assisted and the expected GST cut can provide additional encouragement to speed up the increase, the ICRA said.

In July 225, the domestic wholesale volumes increased by Cent Cent to 5 Lakh Lakhs, and the original equipment manufacturers (OEMs) have sent healthy before the festival season, he said.

However, retail volumes have increased by 6.5 percent over the last month, as urban demand and torrential rains have affected the rural steps, whose sales were weighed, the ICRA said.

The rating agency expects that minor demand for the upcoming festive season will significantly improve. In July, exports are increasing with a healthy 32 percent increase in the year.

Meanwhile, electric two-wheeler (E2W) sales were controlled on sequential basis, in July, a decrease with volumes of 1,02,900 units was shown, he said, adding the E2W access to the two-wheeler section, remained stable in the range of 6-7 percent.