For the first time in nearly a decade, Mahindra & Mahindra is seriously challenging Maruti Suzuki’s dominance in the utility vehicle (UV) segment in India. The gap between their UV sales has narrowed dramatically: in the April–July period last fiscal year, Maruti led by 53,500 units, but this year that gap shrunk to just 12,700 units—and in July, to an astonishingly close 2,900 units.
Why Is This Happening?
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Mahindra’s Rapid Growth: Mahindra’s UV sales have surged by 22% in the last 4 months, driven by strong demand for models like Scorpio-N, Thar, XUV700, and the new XUV 3XO. In July 2025, Mahindra registered a record 26% year-on-year growth and has introduced new electric SUVs and hybrid models, further boosting its appeal.
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Production Expansion: Mahindra is ramping up its production capacity from around 55,000 units per month now to 85,000 units by FY26, aiming to meet the soaring demand and trim waiting periods for its popular models.
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Maruti’s Decline in SUV Sales: Maruti’s mainstays like Brezza, Ertiga, Jimny, and Grand Vitara have seen sales dip by 2% over the same period, erasing its previously comfortable lead.
Outlook for the Rest of the Year
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Maruti Suzuki still sits at the top overall in passenger car sales, buoyed by its hatchbacks and strong exports. However, in UVs/SUVs, Mahindra is a close contender.
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The competition is likely to intensify with the upcoming festive season. Maruti is banking on new and refreshed models, including the electric e Vitara (launching September 2025), the Fronx Hybrid, and a new premium SUV above the Brezza, to revive its lead.
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Mahindra, meanwhile, will keep up the pressure with increased production, new launches (including more electric and hybrid models), and continued momentum from its rugged, aspirational SUV lineup.
