Stories
India's Top Six Automakers Enter Fierce CNG Race
M
Moneycontrol•14-10-2026, 13:43
India's Top Six Automakers Enter Fierce CNG Race
- •India's six largest passenger vehicle manufacturers now all feature factory-fitted CNG offerings as market demand surges.
- •Mahindra is set to launch the CNG version of the XUV 3XO, following Kia's introduction of CNG options in its MPV lineup.
- •The top six carmakers account for roughly 91 percent of India's overall passenger vehicle market share.
- •CNG's share in passenger vehicle retail sales reached 25.28 percent in August before moderating to 23.11 percent in September.
- •Lower running costs, established refuelling networks, and improved cylinder placement are driving the high demand for CNG vehicles.
Key Questions Answered
India's six largest passenger vehicle manufacturers by volume—Maruti Suzuki, Tata Motors, Mahindra, Hyundai, Toyota, and Kia—will all offer factory-fitted CNG options in their portfolios to meet increasing demand.
Maruti Suzuki is targeting sales of around 9 lakh CNG vehicles in FY27, representing a nearly 30 percent increase from the more than 7 lakh units sold in the previous financial year.
In August 2026, alternative powertrains including CNG, hybrids, and electric vehicles combined accounted for 41.95 percent of passenger vehicle retail, slightly edging past petrol at 40.85 percent.
