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Passenger vehicle (PV) dealer inventory rose to around 38–40 days in August

ICICIdirect Research 22 Sep 2026 DISCLAIMER

News: According to media sources, Passenger vehicle (PV) dealer inventory rose to around 38–40 days in August, about five days higher than July and well above the industry-recommended 21 days, as automakers built stock ahead of the festive season. SIAM data showed August PV wholesale volumes grew 36.5% YoY to 4.39 lakh units, while FADA retail registrations increased 16.4% YoY to 4.02 lakh, creating a wholesale-retail gap of nearly 37,000 vehicles. Inventory build-up remains uneven across OEMs, with Maruti Suzuki at around 16 days and Hyundai at 4–5 weeks.

View: The rise in inventory ahead of the festive season is a key near-term monitorable, as manufacturers will need healthy retail demand to absorb the additional stock without materially increasing discounts. Despite elevated stock, discounts have remained relatively controlled, with offers ranging from about ₹50,000 to ₹3.35 lakh, while some models have seen discounts rise by ₹5,000–10,000 YoY; Tata Motors is offering benefits of up to ₹3.35 lakh on select Curvv EV variants and up to ₹2.5 lakh on Harrier EV, while Hyundai and Kia are also offering discounts on selected models.

Impact: Neutral

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