NEW DELHI: India’s luxury car market remained resilient in first half of 2026, with Mercedes-Benz and BMW Group reporting highest-ever Jan-June sales, driven by strong demand for electric vehicles (EVs), premium SUVs and top-end luxury models.Market leader Mercedes-Benz retailed 9,768 cars in first six months of the year, up 9% from 9,013 units a year ago. BMW Group India, which includes BMW and MINI, grew at a faster pace, with sales rising 17% to 9,075 units.Electric vehicles emerged as a key growth driver for both companies. BMW sold 2,359 EVs during the period, up 78% year-on-year, with battery-powered models now accounting for 26% of its total sales. “We are already seeing order book cross 30% EVs. Supply constraints over the last few months prevented us from achieving that mix, but if supplies remain stable, crossing 30% is not far away,” BMW Group India president and CEO Hardeep Singh Brar told TOI.
Brar attributed the strong demand to BMW’s strategy of offering performance-oriented electric cars, coupled with improving charging infrastructure and rising customer confidence. He said range anxiety was no longer a major concern for most buyers as public charging networks expanded and newer EVs delivered sufficient real-world driving range.Mercedes-Benz also reported growing traction for EVs. Santosh Iyer, MD and CEO, Mercedes-Benz India, said that EVs contributed 14% of its overall sales in April-June quarter, led by the newly launched CLA BEV and the EQS SUV. BEVs now account for a quarter of sales in the company’s top-end luxury portfolio.The premium end of the market continued to outperform. Mercedes said sales of its top-end luxury range – including Maybach, AMG, S-Class and V-Class models – grew more than 20% and contributed 28% of overall volumes, while AMG performance cars registered 50% growth.
