FADA: Three-Wheeler Retail Sales Hit Record High as EVs Account for Nearly Two-Thirds of June Registrations

The Federation of Automobile Dealers Associations (FADA) reported that three-wheeler retail sales reached a record 1.21 lakh units in June 2026, the highest-ever June performance for the segment. Registrations increased 16.20% year-on-year from 1.04 lakh units and rose 8.40% over May's 1.12 lakh units, supported by strong demand across passenger and goods carrier categories.

Passenger and Goods Carriers Drive Growth
Passenger three-wheelers remained the largest contributor to the market, with retail sales rising 29.56% year-on-year to 67,086 units. Goods carriers posted the fastest growth among major sub-segments, expanding 42.50% to 14,247 units.

Electric goods rickshaws recorded moderate annual growth of 6.68% to 7,298 units, while passenger e-rickshaw registrations declined 9.03% to 32,133 units. Personal three-wheelers remained a niche category with 125 registrations during the month, although volumes were nearly 33% higher than a year earlier.

Electric Vehicles Dominate the Segment
Electric powertrains continued to dominate India's three-wheeler market. According to FADA, battery electric vehicles accounted for 64.08% of total retail registrations during June, broadly maintaining their leadership despite a slight decline from 64.44% in May.

CNG/LPG-powered models accounted for 22.20% of registrations, followed by diesel vehicles at 13.41%, while petrol-powered three-wheelers represented only 0.31% of the market. The figures underline the segment's position as India's most electrified mainstream vehicle category.

Rural Markets Continue to Outperform
Regional data showed rural demand continuing to expand faster than urban markets. Rural three-wheeler retail sales increased 25.25% year-on-year compared with 5.89% growth in urban centres. On a month-on-month basis, rural sales rose 9.41%, marginally ahead of the 7.06% increase recorded in urban markets.

The rural share of overall three-wheeler registrations increased to 57.4% during June, while urban markets accounted for 42.6%, highlighting the segment's growing role in supporting last-mile passenger mobility and goods transportation across smaller towns and villages.

Bajaj Auto Leads OEM Rankings
Bajaj Auto remained the market leader with retail sales of 40,883 units and a 33.82% share, although its market share declined from 37.54% a year earlier.

Mahindra & Mahindra and Mahindra Last Mile Mobility together accounted for more than 26,800 retail registrations during the month, each holding slightly over 11% market share. Piaggio Vehicles followed with 8,887 units, while TVS Motor Company retailed 6,408 units. Atul Auto, YC Electric Vehicle, Dilli Electric Auto and Saera Electric Auto were among the other significant manufacturers in the segment.

Strong Quarter Ahead of Festive Season
The three-wheeler segment recorded retail sales of 3.46 lakh units during the first quarter of FY2027, representing year-on-year growth of 10.06%. Looking ahead, FADA expects continued support from improving rural incomes, normalising vehicle supplies and sustained adoption of electric mobility solutions. Dealer sentiment also remains positive as the industry heads towards the festive season, although the association cautioned that monsoon progress and financing conditions will remain important variables for retail demand over the coming months.