Mahindra vs Hyundai vs Tata: Battle for Second Bestselling Carmaker Intensifies in July
The Race for Dominance in India’s Auto Market Gets Fierce.
In India’s fast-evolving automobile market, the competition isn’t just about who sells the most cars overall — it’s also about who comes second.
While Maruti Suzuki carries on to hold a strong lead in terms of monthly car sales, the race for the second place is where the real action is to be proved.
July 2025 witnessed a dramatic three-way contest between Hyundai, Tata Motors, and Mahindra, each determined to stake their claim as India’s second most preferred carmaker.
This isn’t just about numbers. The fight reflects shifts in customer behavior, the growing demand for SUVs and electric vehicles, and changing perceptions around brand value and reliability. As the automotive sector recovers post-pandemic and adapts to electric and sustainable solutions, these three brands are rewriting the rules of engagement.
Let’s break down the numbers and strategies — and why the competition is far from over.
July’s Sales Numbers Reveal a Tight Race : What the Data Says?
In July 2025, total domestic passenger vehicle sales crossed the 3.6 lakh unit mark, showing a stable demand curve. But the real drama was in the competition for second place:
Hyundai clocked 52,001 units, making it the second-highest seller after Maruti Suzuki.
Tata Motors wasn’t far behind, with 49,350 units, driven by its popular EVs and compact SUVs.
Mahindra posted 48,118 units, largely boosted by demand for its rugged SUV lineup like the Scorpio-N, XUV700, and Thar.
That’s a difference of just a few thousand vehicles — a margin small enough to be overturned in a matter of weeks.
Read More : Hyundai Plans 26 New Cars For India (Including 6 EVs) – What Are They?
Hyundai’s Strategy: Dependable but Playing Catch-Up
Hyundai has traditionally relied on a wide portfolio with strong urban appeal — the Creta, Venue, i20, and the newer Exter are key pillars. While Hyundai is consistent, it’s now facing pressure on two fronts: Tata’s rise in the EV market and Mahindra’s dominance in SUV demand.
In July, Hyundai’s refreshed Creta 2024 facelift did well, but the company is still seen as slightly conservative when it comes to innovation in the EV space. With Tata pushing the Tiago.ev and Nexon EV aggressively, Hyundai risks losing momentum in an important growth segment.
Tata Motors: Electric Ambition vs Supply Hiccups
Tata’s strength lies in its growing electric portfolio and a loyal customer base in the compact SUV segment. The Nexon, Punch, and Tiago have maintained stable demand, while the Tigor EV and Nexon EV continue to give Tata an edge in the electric space.
However, production bottlenecks and longer waiting periods for EVs and top trims may have cost Tata a few thousand units in July. Had it been able to meet full demand, the second spot might have easily been theirs.
Mahindra’s Rise: SUV Focus Paying Off
Mahindra’s transformation into a modern SUV powerhouse is turning heads. The Scorpio-N, Thar, Bolero Neo, and XUV700 continue to attract buyers who prioritize performance and road presence.
The launch of the XUV3XO, Mahindra’s compact SUV offering launched earlier in the year, is gaining popularity, especially among urban families looking for a feature-loaded yet rugged ride. July sales indicate that Mahindra is capitalizing on its focused portfolio rather than spreading itself thin.
Still, Mahindra’s limited presence in the hatchback and sedan markets means it has to extract more out of fewer products — a high-risk, high-reward game.
The Road Ahead – What Will Decide the Next Move?
The battle for second place isn’t just about July. The trends point toward an intense rivalry in the coming months, and a few things will decide who gets to wear the silver medal consistently:
1. EV Push: Tata’s Trump Card
Tata is likely to increase production for its EV lineup ahead of the festive season.
As the Curve EV and Punch EV Long Range cars are in the pipeline, Tata’s early investment in electric mobility is expected to pay dividends.
Government subsidies and consumer preference for lower running costs are helping the company maintain its lead in this space.
However, Tata needs to work on reducing delivery time and improving after-sales service consistency if it wants to build long-term loyalty.
2. Hyundai’s Refresh and New Launches
Hyundai is planning to launch the Creta EV and new-gen Verna Turbo variants soon. These will help Hyundai cover its current gaps. The company is also working on an entry-level EV to take on Tata’s Tiago.ev directly. If priced right, this could shift the momentum quickly.
Hyundai’s dealership network and brand trust still give it an advantage, but it must innovate faster and move away from just relying on ICE vehicles.
3. Mahindra’s Focused Growth Strategy
Mahindra seems content with being a niche leader in SUVs, and that’s working for them so far. The company is planning to launch the Thar 5-door and XUV.e8 (EV version of XUV700) later this year. These vehicles will strengthen Mahindra’s SUV muscle while also allowing it to tap into the EV segment without diluting its rugged image.
However, unless Mahindra expands into the hatchback or compact sedan segment, its growth will hit a ceiling eventually.
Final Thoughts: The Battle Is Only Getting Started
The July 2025 sales figures tell us one thing clearly — the race for second spot is no longer predictable. All three brands — Hyundai, Tata, and Mahindra — are bringing different strengths to the table. Hyundai has a strong legacy and consistency, Tata has innovation and electric momentum, while Mahindra has cracked the SUV formula like no one else.
For consumers, this is great news. It means better features, more choices, and competitive pricing across all segments. For the automakers, it means one thing — adapt fast or fall behind.
As the festive season nears and new launches hit the showrooms, we’re looking at one of the most exciting quarters in recent Indian automobile history. Whether it’s Hyundai’s reliability, Tata’s future focus, or Mahindra’s power-packed SUVs — the battle for second place might just become more thrilling than the race for the top.
Disclaimer : This article has been written based on the information available on the internet.If you want more details then please visit the company’s official website.