According to the latest data released by the Union Ministry of Road Transport and Highways, Gujarat has overtaken the country's largest state Uttar Pradesh to become the second largest state in the country in car sales as of October 28, 2026. Haryana is at the fourth and fifth positions with 25,131 units and Rajasthan with 23,602 units.
Gujaratis consider the purchase of new things auspicious
This year, the bumper sales during the festive season have pushed it to the second position. During Navratri, Dussehra and Diwali, Gujaratis consider the purchase of new items auspicious, which has directly benefited the car dealers. If we look at the total figures for the calendar year 2026, the position of Gujarat is also strong. Gujarat ranks third in the country with a total of 3,44,039 units till October 28. Maharashtra topped the list with 4,72,712 units followed by Uttar Pradesh with 4,32,591 units, followed by Tamil Nadu with 2,87,643 units and Karnataka with 2,80,705 units respectively.
GST Cuts and New Car Models Boost Sales
According to car dealers, the reduction in GST by the central government in the month of September has led to a reduction in car prices, strong demand for entry-level cars, a growing craze for SUVs and new models launched by companies just ahead of the festive season have attracted buyers to showrooms.
Gujarati consumers turn to CNG and EV
The people of Gujarat are now rapidly turning towards eco-friendly alternatives, not just love and diesel cars. The demand for CNG variants and electric vehicles (EVs) has been very good in the state. The EV charging infrastructure across the state is continuously improving and people's confidence in EVs has increased. The introduction of new EV and CNG models by companies has also boosted sales.
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