Tractor retail increased 13.75% year on year to 76,906 units in September 2026, while wheeled construction equipment retail rose 38% to 6,486 units, according to FADA.
The two categories recorded different sequential trends during the month. Tractor retail declined 12.58% month on month from 87,977 units in August, while wheeled construction equipment retail increased 25.55% from 5,166 units. FADA identified tractors as the only soft spot among the six vehicle categories tracked in September, while construction equipment recorded a sharp festive-led rebound.
The broader Indian auto retail market reached 25,36,920 units in September, up 31.82% year on year and 4.69% month on month. FADA has cautioned that the September year-on-year growth rate is affected by the purchase deferments seen ahead of GST 2.0 in September 2025.
Tractor Retail Up 13.75% Despite Monthly Decline
Tractor retail stood at 76,906 units in September, compared with 67,612 units a year earlier. While the segment grew 13.75% year on year, it declined 12.58% month on month. FADA attributed the sequential weakness to a later festive calendar and a patchy monsoon, making tractors the only category among the six tracked to register a monthly decline.
Rural markets continued to account for the larger share of tractor retail. Rural tractor retail increased 15.56% year on year, compared with 6.44% growth in urban markets. On a monthly basis, however, rural retail fell 13.27%, while urban retail declined 9.44%.
For April-September FY2027, tractor retail reached 5,56,862 units, compared with 4,64,778 units during the corresponding period of FY2026, representing growth of 19.81%.
Diesel remained the dominant fuel type, accounting for 99.95% of tractor retail in September. EVs accounted for 0.05%.
Mahindra & Mahindra's tractor division recorded 18,223 units and a 23.70% market share, followed by its Swaraj division with 13,975 units and an 18.17% share. International Tractors recorded 10,159 units and a 13.21% share, while TAFE accounted for 8,605 units and an 11.19% share.
Construction Equipment Retail Rises 38%
Wheeled construction equipment retail increased 38% year on year to 6,486 units in September. Monthly retail increased 25.55% from 5,166 units in August.
The segment recorded stronger growth in rural markets, where retail increased 46.02% year on year and 26.46% month on month. Urban CE retail increased 27.86% year on year and 24.26% month on month.
JCB India led the wheeled construction equipment market with 3,460 units and a 53.35% share. Action Construction Equipment followed with 612 units and a 9.44% share, while Escorts Kubota's construction equipment division recorded 431 units and a 6.65% share. Ajax Engineering accounted for 341 units and a 5.26% share.
Bull Machines recorded 231 units and a 3.56% share, followed by Tata Hitachi with 143 units and a 2.20% share. Case New Holland Construction Equipment recorded 139 units and a 2.14% share.
Diesel accounted for virtually all wheeled construction equipment retail in September, at 100% in FADA's fuel-wise data. CNG/LPG accounted for 0.1%, while petrol/ethanol and EVs had no recorded share.
Tractor, CE Retail Trends Diverge In FY27
The first-half data also shows a difference between the two categories. Tractor retail for April-September FY2027 increased 19.81% year on year to 5,56,862 units, whereas wheeled construction equipment retail increased only 1.56% to 34,637 units from 34,106 units in the corresponding period of FY2026.
This means the sharp September increase in construction equipment retail has come after relatively limited cumulative growth during the first six months of FY2027. For tractors, the September year-on-year increase came despite the monthly decline associated with the later festive calendar and uneven monsoon conditions.
FADA expects festive demand to shift into October, with Navratri scheduled from October 11-20 followed by Dussehra. For the wider October-December period, the association expects rural consumption and infrastructure-led goods movement to remain among the supporting factors for vehicle retail.
The September tractor figures exclude Telangana because registration data for the category was unavailable for the state. The FADA dataset was compiled as of October 3, 2026, in collaboration with the Ministry of Road Transport and Highways and covers 1,468 of 1,469 RTOs.