India's Commercial Vehicle Industry Grows 27% in January 2026 Following GST Cut

The Indian commercial vehicle (CV) industry saw a 27% year-on-year increase in domestic wholesale volumes in January 2026, reaching 99,544 units, with a 1.9% sequential rise from December 2025. This growth was mainly driven by the GST rate cut from 28% to 18% effective September 2025 and increased freight activity. Medium and heavy commercial vehicles (M HCV) grew 15.4% YoY, while light commercial vehicles (LCV) rose 14.9% YoY, though high funding costs remain a challenge for LCV demand. Some moderation in growth is expected later in FY2026.