Why Mahindra Is Now India’s No. 2 Carmaker – Full Report

In a major reshuffle of India’s auto industry, Mahindra & Mahindra has overtaken Hyundai to become the second-largest carmaker in the country, as per Q2 2025 sales data. This marks a turning point in India’s evolving automobile landscape — and showcases Mahindra’s SUV dominance.

Let’s break down how this shift happened, and what it means for the future.

📊 The Sales Story: Mahindra Inches Ahead

🚙 The Secret to Mahindra’s Rise

✅ 1. SUV-Only Strategy That Worked

Mahindra doesn’t make hatchbacks or sedans anymore — and that’s paying off. Indians are increasingly choosing SUVs for their road presence, safety, and versatility.

Popular models:

  • XUV700 – Loaded with tech and luxury

  • Scorpio-N – Rugged and refined

  • Thar – Iconic lifestyle SUV

  • XUV 3XO – Mahindra’s compact SUV blockbuster (50,000+ bookings!)


✅ 2. Aggressive Pricing, Top Features

Mahindra’s vehicles pack in features like:

  • ADAS (Advanced Driver Assistance Systems)

  • 5-star safety ratings (Global NCAP)

  • Panoramic sunroofs, 10-inch displays, and more — all at competitive prices.

✅ 3. Tier 2 & 3 Market Penetration

Mahindra’s network and rugged brand appeal give it a strong foothold beyond metros — especially where road conditions favor tougher vehicles.

🔻 Where Hyundai Lost Ground

Despite being strong in urban areas, Hyundai faced:

  • Fewer new model launches in 2025

  • Slower updates to bestsellers like Venue and Creta

  • Weak presence in the fast-growing EV space

📈 Future Outlook: The Battle Isn’t Over

🔋 Mahindra’s Next Moves:

  • Thar.e – Electric Thar concept turning production-ready

  • BE Series – Upcoming born-electric SUVs

  • XUV.e8 – Mahindra’s EV answer to Tata’s Nexon EV Max

🚗 Hyundai’s Comeback Plans:

  • Launching Creta EV and facelifted Verna

  • Strengthening SUV design and features by late 2025

Final Take

Mahindra didn’t just beat Hyundai in sales — it captured the pulse of the modern Indian buyer. SUVs, safety, and street style are the new currency in the auto world.”

With the SUV craze here to stay and EVs entering the mainstream, India’s car market is more competitive than ever.

🛠 Pro Tip

Thinking of buying an SUV soon? This is the best time to watch for new launches and festive discounts from Mahindra, Hyundai, and Tata.