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India's CV Market Roars Back in 2025 on Policy Reforms and Infra Boost

India's commercial vehicle sector shifts gears: Policy reforms and infrastructure spending drive dramatic H2 recovery after sluggish start.

By Shahkar Abidi

26 Dec 2025

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India's CV Market Roars Back in 2025 on Policy Reforms and Infra Boost

The Indian commercial vehicle (CV) market, a bellwether for the nation’s economic metabolism, has finally exited a prolonged period of deceleration, showing robust signs of recovery in the latter half of calendar year 2025. After a sluggish start marked by tepid volume growth, the industry found significant traction following key policy interventions and traditional seasonal strength.

Analysts now anticipate that the combination of recent Goods and Services Tax (GST) reforms and heightened government capital expenditure (capex) will propel the sector to a strong close in November and December, potentially delivering higher-than-expected growth for the full financial year (FY26).

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