Honda Motorcycle & Scooter India (HMSI) emerged as India’s largest two-wheeler retailer in July, overtaking Hero MotoCorp for the first time in calendar year 2026. Honda’s retail registrations rose 23 per cent year-on-year to 4,49,473 units, outpacing Hero MotoCorp, whose registrations increased 20.6 per cent to 4,19,456 units, according to VAHAN data.Overall two-wheeler registrations climbed 22.3 per cent year-on-year to 17,34,624 units from 14,18,774 units a year earlier. Retail volumes, however, eased 5.8 per cent from June’s 18,41,713 units as monsoon seasonality weighed on demand.Honda’s July performance ended Hero MotoCorp’s six-month run at the top of the monthly VAHAN retail rankings.Hero had led the market from January through June, driven by steady demand for its commuter motorcycle portfolio, before Honda edged ahead in July.Market leadersTVS Motor retained the third position with 3,57,819 registrations, up 27.4 per cent year-on-year, recording the strongest growth among the three largest manufacturers. Bajaj Auto followed with 1,71,790 registrations, an increase of 17.1 per cent, while Suzuki Motorcycle India registered 97,732 units, up 4.0 per cent.Royal Enfield continued its strong momentum with 90,501 registrations, growing 25.3 per cent over the year-ago period. Yamaha posted 64,873 units, up 23.6 per cent year-on-year.Industry outlookHemal Thakkar, Senior Director and Senior Practice Leader at Crisil Intelligence, said the two-wheeler industry is expected to record retail sales of more than 1.8 million units in July, reflecting 26-27 per cent year-on-year growth.He said the month-on-month moderation was broadly in line with seasonal trends and underlying demand remained healthy.“ICE two-wheeler retail sales are expected to reach 1.6-1.65 million units, growing more than 22 per cent year-on-year. However, volumes are expected to decline by around 3 per cent compared with June, reflecting the broader seasonal moderation seen across the industry. Despite this, ICE vehicles are expected to continue to account for the majority of industry volumes,” Thakkar said.Industry participants expect demand to remain resilient in the coming months, supported by rural recovery, replacement demand and the approaching festive season. While July reflected the usual seasonal moderation from June, the continued double-digit growth in registrations indicates that the domestic two-wheeler market remains on a firm footing, with conventional motorcycles and scooters continuing to account for the overwhelming majority of retail volumes.Published on July 31, 2026