India's automobile industry reported significant year-on-year growth in December 2025, with passenger vehicle dispatches up 27% and two-wheeler dispatches rising 39%, according to SIAM. This surge is attributed to strong demand for utility vehicles, a year-end sales push, healthy bookings, and the impact of 2025 interest rate cuts. The industry anticipates continued momentum into FY2025-26, supported by stable economic conditions and government policies.