CMV360 Weekly Wrap-Up | 4th–9th August 2025: Mahindra–SML Isuzu Deal, FASTag Expansion, CV & 3W Sales Growth, Switch EV Buses to Mauritius, Tractor Market Surge, and VST Compact Tractor Launch

Welcome to the CMV360 Weekly Wrap-Up for 4th to 9th August 2025 – your go-to digest of major developments in commercial vehicles, electric mobility, and agriculture.

This week, Mahindra made a strong move into the ILCV space with a majority stake in SML Isuzu, while Gro Digital and IDFC FIRST Bank teamed up to expand FASTag and fleet mobility services nationwide. FADA’s July reports showed steady CV and three-wheeler sales growth, with Mahindra gaining momentum in market share. SWITCH Mobility delivered its first batch of electric buses to Mauritius, and Mahindra Last Mile Mobility retained its top position in the EV CV market.

In the farming sector, tractor sales surged on the back of good monsoon rains, with Mahindra leading despite a slight dip in share. VST launched a new compact tractor series, Sonalika hit a 50,000-unit milestone in just four months, and industry bodies pushed for exemptions on TREM V norms for mid-range tractors.

Let’s dive into the biggest stories shaping the week.

Mahindra Completes Majority Acquisition of SML Isuzu, Steps into ILCV Segment

Mahindra has acquired a 58.96% stake in SML Isuzu for ₹555 crore, entering the intermediate and light commercial vehicle (ILCV) segment. It plans to buy an additional 26% from public shareholders and rename the company SML Mahindra Limited. With leadership changes and SML’s strong bus market presence, Mahindra aims to grow its CV market share from 3% to over 20% by FY36 through product integration, dealer network expansion, and EV-ready offerings.

Gro Digital and IDFC FIRST Bank Partner to Boost FASTag Services and Fleet Mobility Across India

Gro Digital Platforms, a JV of Ashok Leyland and Hinduja Leyland Finance, has partnered with IDFC FIRST Bank to expand FASTag services across India. The rollout via Ashok Leyland dealerships will provide nationwide availability, real-time tracking, transparent toll management, and cashless payments for fleets. Users will also get ‘Sadak Ka Saathi’ roadside assistance. This collaboration aims to improve fleet efficiency, reduce costs, and support India’s shift to tech-driven, cashless logistics.

FADA Retail CV Sales Report July 2025: Tata Leads with Over 25,000 Units, Total Sales Reach 76,439

In July 2025, India’s commercial vehicle retail sales reached 76,439 units, up 0.23% YoY and 4.19% MoM. LCVs and MCVs posted growth, with MCVs rising 10.46% YoY. Tata Motors led but saw lower sales and market share, while Mahindra & Mahindra gained momentum to 26.74% share. Ashok Leyland and VECV also grew, and Switch Mobility and SML Isuzu posted strong YoY gains. HCV sales dipped 3.17% YoY, but overall market sentiment stayed positive.

FADA Three-Wheeler Retail Sales Report July 2025: Over 1.11 Lakh Units Sold, Passenger Segment Grows Strongly

In July 2025, India’s three-wheeler sales rose to 1,11,426 units (+10.73% MoM, +0.83% YoY), driven by passenger carriers (+12.31% MoM, +8.44% YoY). Bajaj Auto led with 34.74% share, while Mahindra Group surged to 18.84%. TVS Motors more than doubled sales YoY. E-rickshaw goods carriers grew 31.37% YoY, though passenger e-rickshaws fell 10.49% YoY. Some electric brands saw declines, but strong EV and last-mile mobility demand signal sustained market growth in the coming months.

SWITCH Mobility Sends First Electric Buses to Mauritius Under Bilateral Partnership

SWITCH Mobility has delivered the first 10 of 100 EiV12 electric buses to Mauritius under an India–Mauritius clean transport partnership. Built in Chennai, the 45-seater buses feature LFP batteries, fire safety systems, telematics, and fast-charging. Operated by Mauritius’ National Transport Corporation, they aim to cut carbon emissions and promote sustainable mobility. The order, won via CESL tender, highlights India’s manufacturing strength and strengthens bilateral ties, supporting both nations’ shared sustainable development and clean transport goals.

Mahindra Last Mile Mobility Leads July 2025 Electric CV Market with Strong Sales Performance

Mahindra Last Mile Mobility Ltd. (MLMML) retained its No. 1 spot in India’s electric commercial vehicle market in July 2025, selling 9,155 EVs and capturing 40.3% of the L5 segment. Cumulative sales crossed 2.6 lakh units, with the last 1 lakh achieved in just 15 months. Known for models like Treo, Zor Grand, and e-Alfa, Mahindra’s strong dealership network, tech-driven products, and customer programs like UDAY NXT (₹20 lakh insurance cover) continue to boost adoption. The company remains a key driver in India’s shift to sustainable last-mile mobility.

Domestic Tractor Sales Rise to 64,322 Units in July 2025, Marking 8.05% YoY Growth

India’s tractor market saw robust growth in July 2025, with 64,322 units sold domestically — up 8.05% YoY from 59,530 units in July 2024. Mahindra led with 26,990 units (+5.48%) but lost 1.02% market share. TAFE, John Deere, and New Holland posted strong double-digit growth, with New Holland leading at +27.85%. Preet and ACE recorded the steepest declines in both sales and share. Favorable monsoon rains and higher kharif sowing drove demand, and the sector is expected to sustain momentum in the coming months.

VST Launches FENTM Compact Tractors for Small and Mid-Sized Farms

VST Tillers Tractors Ltd launched the FENTM Series, five compact models (18.5–29 HP) designed for small and mid-sized farms. Available in 2WD and 4WD, they feature high torque at low RPM, fuel efficiency, ergonomic comfort, and compact design for narrow fields. Suitable for tilling, spraying, hauling, and harvesting, the FENTM series offers modern, cost-effective solutions, boosting productivity without raising fuel costs, and reflects VST’s focus on farmer-centric, utility-driven innovation.

Sonalika Records 53,772 Tractor Sales from April to July 2025

Sonalika Tractors sold 53,772 units (domestic + exports) between April–July 2025, crossing 50,000 sales in just four months. Growth was driven by farmer-friendly, fuel-efficient technology, increased mechanisation, good monsoon, and a bumper rabi harvest boosting farmer incomes. Strong demand came from both Indian and global markets, reflecting trust in Sonalika’s reliable, high-performance machines. This milestone underscores the brand’s commitment to innovation, customer satisfaction, and sustainable growth, setting a positive tone for FY’26.

TMA Urges Government to Exclude 25–50 HP Tractors from TREM V Norms

TMA has urged the government to exempt 25–50 HP tractors from TREM V emission norms, citing high upgrade costs and the segment’s dominance in India’s market. The proposal suggests applying TREM V only to HP below 25 and above 50 HP tractors. The government is likely to approve soon. Escorts Kubota Ltd. (EKL) plans new domestic tractor launches while tailoring low HP models for developing markets and high HP models for Europe, aligning with emission standards and boosting India sales.

FADA Retail Tractor Sales Report July 2025: Mahindra Leads with Over 20,000 Units, 88,722 Units Total Sold

India’s FADA retail tractor sales rose 10.96% YoY in July 2025 to 88,722 units from 79,961 in July 2024. Mahindra & Mahindra led with 20,610 units (23.23% share), followed by Swaraj (16,725) and Sonalika (12,536). TAFE, Escorts Kubota, John Deere, Eicher, and CNH posted strong growth, while Kubota fell sharply to 569 units. Data, excluding Telangana, was collected from 1,386 of 1,446 RTOs. The rise signals healthy rural demand and continued mechanisation in Indian agriculture.

Also Read: CMV360 Weekly Wrap-Up | 27th July–2nd August 2025: Daimler’s India-Led Global Push, Eicher Pro Plus Launch, Mahindra Tops LCVs, Tata-Iveco Deal, Tractor Sales Rise, and PM-KISAN Update

CMV360 Says

This week showcased strong momentum across India’s commercial vehicle, EV, and farming sectors. From Mahindra’s strategic expansion and new product launches to rising sales figures and policy updates, the industry is moving towards growth, innovation, and sustainability. With positive market sentiment and supportive reforms, the coming months promise further opportunities for manufacturers, dealers, and farmers alike.