The Indian two-wheeler market has slowed down in the first four months of FY2026, with total sales of 6.24 million units, a 2.9% drop compared to the same period last year. The biggest reason is the weak performance of motorcycles, especially the affordable 100cc and 125cc bikes.
Motorcycle sales stood at 3.79 million units from April to July 2025, down 6.3% year-on-year. Their share in the two-wheeler market fell to 61% from 64% last year. In contrast, scooter sales grew 3.9% to 2.3 million units, raising their market share to 37%. Mopeds, however, dropped 10%.
The entry-level motorcycles, which are usually popular in rural and commuter markets, saw the sharpest fall. Combined sales of 100cc and 125cc bikes were down 8% at 2.81 million units. Seven of the top ten manufacturers reported a decline, with Hero MotoCorp, Honda, and Bajaj Auto hit the hardest.
Breaking it down, the 100-110cc category dropped 8% to 1.71 million units, with Hero’s sales falling 3% and Honda’s dropping a steep 48%. The 110-125cc segment slipped 7%, though Honda managed 8% growth here. The 125-150cc segment saw the biggest hit, falling 33%.
Not all categories suffered. The 150-200cc segment grew 1%, led by TVS’s Apache series. The 200-250cc category rose 15%, thanks to strong demand for TVS Ronin. Royal Enfield dominated the 250-350cc segment, selling nearly 2.8 lakh units, up 17%.
Dealers expect better sales in the coming months due to upcoming festivals like Raksha Bandhan, Janmashtami, and Ganesh Chaturthi, supported by discounts and promotions. Another factor is the government’s review of GST. If the tax rate on two-wheelers drops from 28% to 18%, it could encourage more buyers, especially in the entry-level segment. However, many customers may wait until Diwali in October before making a purchase, which means sales could stay weak in August and September.
In short, while scooters and premium bikes are doing well, entry-level motorcycles are struggling, pulling overall two-wheeler sales down.
