Mahindra Surpasses Hyundai To Become India's BIGGEST Car Maker In Q1 2025

Written By: Vikas Kaul
Published: July 17, 2025 at 01:15 AMUpdated: July 17, 2025 at 01:15 AM
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For the first time ever, Mahindra & Mahindra has become the second-largest carmaker in the country for the April to June 2025 quarter. It sold 1,21,243 units in this period, just ahead of Hyundai which sold 1,21,031 units and Tata Motors which sold 1,20,685 units. The difference between the three was small, but Mahindra came out on top.

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This is a big moment for the company because it has reached this milestone with a much smaller product range compared to its rivals. Hyundai and Tata offer hatchbacks, sedans, electric cars and SUVs. Mahindra only makes SUVs, and that clear focus is now starting to show results.

SUVs at the Heart of Mahindra’s Success

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Mahindra’s line-up includes the Scorpio-N, Scorpio Classic, Bolero, Thar, XUV300, XUV400 and XUV700. Most of these models are doing very well in their categories. The Thar continues to be popular among those looking for a rugged lifestyle SUV, and the XUV700 remains a top choice for families wanting a feature-rich car. The Scorpio range does well in both cities and rural areas.

Earlier, Mahindra had long waiting periods for most of its models because of supply problems. But in the last few months, it has fixed these issues and improved production at its factories. Because of this, customers are getting deliveries faster, and this has helped the company push out more vehicles to dealers.

The Thar Roxx Made a Big Difference

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The Thar three-door model has been popular for a few years now. But it was always seen as a second car or a fun weekend vehicle. That changed in August 2024 when Mahindra launched the five-door version called the Thar Roxx.

The longer version of the Thar made it more practical for daily use and attracted buyers looking for a strong, family-friendly SUV with style. In just six months after launch, the Thar Roxx made up nearly half of all Thar sales. On average, Mahindra sold over 6,000 units of the five-door version every month.

Sticking to Its Strengths

While other companies have been shifting to electric, hybrid or CNG vehicles, Mahindra has stayed focused on petrol and diesel engines. This has worked in its favour, especially in areas where charging stations or CNG pumps are not easy to find.

Its diesel SUVs with 4x4 options are strong performers on highways and rough roads. This gives buyers peace of mind, especially in smaller towns or for those who travel long distances. Mahindra also offers a lot of features at a competitive price, which helps it stand out.

What Went Wrong for Hyundai and Tata

hyundai i20

Hyundai missed out on the number two spot by just over 200 units. Some of its hatchbacks like the i20 and compact sedan Aura did not sell as well as expected. Its Creta SUV is still doing well, but it needs more best-sellers in its portfolio if it wants its number 2 spot back. The Korean car maker has a 26-car onslaught lined up but till that happens, its too reliant on Creta for numbers.

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Tata Motors also faced a small dip. Its electric vehicles saw slower sales as some state subsidies ended. The Nexon EV is still a strong seller, but buyers are now looking at more choices. Tata also had a few model updates in progress, which may have caused delays in pushing out cars to showrooms.

Focused Approach Pays Off

Mahindra’s rise to the number two position shows that a focused approach can pay off. But it cannot relax yet. The gap between the top three companies is very small, and just one or two weeks of lower deliveries can change the rankings.

Hyundai is planning updates to its SUV line-up and could bounce back soon. Tata is also working on new versions of its popular models, including more CNG and electric options.

For Mahindra, the plan is to build on the strong demand for the Thar Roxx and launch more SUVs, including electric ones under its new BE and XUV/XEV sub brands. If it can continue delivering vehicles on time and keep customer interest high, it may hold on to this new position for longer.