Sales | Power Systems Research

2026-01-25

Tesla’s 2025 Europe Data Shows Total Bloodbath

The data is in for Tesla’s full year 2025 in Europe, and frankly, it’s a bloodbath across most major markets. Every market in Europe showed a substantial decline (ranging from -4.1% to -66.9%). There’s a single exception, Norway, and Tesla can’t even count on this market in 2026 because the growth in Norway was caused by changing regulations for 2026, that brought forward car purchases into the last two month of 2025.

According to registration data compiled from major European markets, Tesla saw its total volume drop from roughly 326,000 units in 2024 to just over 235,000 in 2025. That is a staggering 27.8% year-over-year decline

The truth is that this is an impressive demand cliff by any standard that points to significant brand problems, which are due to a mix of Elon Musk, Tesla’s CEO, becoming highly toxic, and Tesla’s EV lineup becoming stale amid tougher competition.

Categories: Alternative Power, Europe, Passenger Cars, Minivans, and SUVs, Sales

Office: United States Offices

2026 Brazilian Vehicle Market Projected To Grow 3%

Fabio Ferraresi

Brazil’s vehicle distribution association Fenabrave projects that the total new vehicle market in 2026 will grow by approximately 3%, reaching around 2.7–2.8 million units in total sales across all segments compared with 2025 performance. This projection includes ~3% increases in passenger cars and light commercial vehicles, roughly 2.6–2.7 million units, and ~3.5% growth in truck registrations. Sales of buses are also forecast to rise ~3%.

The outlook is supported by expectations of improved credit availability, federal support programs such as Carro Sustentável and Move Brazil, and a strong commodities export environment, which bolsters freight demand. The heavy truck segment, which faced a steep decline in 2025, is expected to contribute to overall market expansion. Fenabrave’s forecast assumes modest macroeconomic improvement and continued easing of credit conditions.

Categories: Central/South America, Commercial Vehicles, Off-Highway Equipment, Passenger Cars, Minivans, and SUVs, Sales, South America/Brazil

Office: Brazil Office

These Drivers Boost Two-Wheeler Market

Aditya Kondejkar

India’s two-wheeler market has re-entered a phase of strong recovery, marking one of the most encouraging periods for the segment in the post-pandemic cycle.

After an extended stretch of muted retail activity—driven by rural income pressure, price inflation, and delayed replacements—the current upswing reflects deeper, broad-based improvements in consumer sentiment. The revival is being powered by a mix of macroeconomic stabilization, rural liquidity improvements, urban premiumization, and targeted OEM strategies.

Source: Times of India Read The Article

Categories: Indian Subcontinent, Production, Recreational Products, Sales

Office: India Office

2025-12-08

Ford Uses Revised Strategy for Success

Aditya Kondejkar

Ford Motor Company’s decision to re-enter the Indian market marks one of the most closely watched developments in the auto industry this year. After exiting mass-market operations in 2021, due to persistent losses and an increasingly competitive environment, Ford’s return signals a significant strategic recalibration driven by changing market dynamics, India’s rising manufacturing relevance, and the company’s global EV transformation agenda.

Unlike the last decade—when Ford struggled with scale, cost structures, and a limited product pipeline—its new India plan is built around focused investments, platform sharing, premium positioning, and leveraging India as an export and engineering powerhouse.

Shifting from Mass-Market to Strategic Segments
Ford’s earlier struggle stemmed largely from competing in high-volume, price-sensitive segments dominated by Maruti Suzuki, Hyundai, and later Tata and Kia. The new strategy avoids this path.

Categories: Indian Subcontinent, Passenger Cars, Minivans, and SUVs, Production, Sales

Office: India Office

Delays in Agricultural Equipment Delivery Worsen

Akihiro Komuro

The increase in 2025 rice prices has provided Japanese farmers with more financial flexibility, leading to a surge in demand for upgrades to agricultural machinery. However, farmers are reporting longer wait times for machinery orders, sometimes up to a year. They are expressing concerns such as, “We can’t plan next season’s operations,” and “If delivery is delayed until next year, can we really count it as an expense for this year?”

Many small- and medium-sized farms had delayed replacing machinery due to prolonged low rice prices, opting instead to repair old equipment or purchase used machinery. The 2025 rice harvest, however, saw more farmers gain financial leeway, increasing the demand for replacing or purchasing new machinery.

While agricultural machinery manufacturers have been increasing production of high-efficiency models, such as smart farm equipment, targeting large-scale agricultural corporations, the supply-demand balance has shifted. This has created a situation in which supply cannot keep pace with the sudden surge in demand.

Source: JA.com

Categories: Agricultural, Japan, Production, Sales

Office: Japan Office

2025-12-07

EV Sales Growth Has Slowed

Guy Youngs

Over the course of the last two years or so, sales of battery electric vehicles, while continuing to grow, have posted lower year-over-year percentage growth rates than they had in years prior. EV sales used to grow at 50%+ per year, but for the last couple years, they have grown closer to about 25% per year.

Categories: Alternative Power, AltPwr, EV, Sales

Office: United States Offices

2025-11-17

Auto Sector Driven by 2Ws, Stable PV Demand

Aditya Kondejkar

INDIA REPORT

India’s auto sector delivered a resilient performance in the first half of FY26 (April–September 2025), supported by healthy two-wheeler volumes, steady passenger-vehicle demand, and a modest recovery in commercial vehicles — even as the industry navigated EV market churn and shifting policy tailwinds.

Two-wheelers continued to underpin volume growth: production and domestic sales surged, with about 10,200,000 (1.02 crore) two-wheelers produced/sold in 1H FY26. This strength was driven by durable rural demand, improved affordability, and strong scooter and motorcycle cycles during the pre-festive and monsoon seasons.

Passenger vehicles showed robustness across the board, with roughly 2.05 million units recorded in the six-month period (Apr–Jun ~1.01m; Jul–Sep ~1.04m). OEMs benefited from a combination of steady urban demand, renewed festive spending and a partial easing of supply constraints. Strong export momentum — India recorded a record H1 export tally — also helped OEM plant utilizations.

Categories: Economics, Indian Subcontinent, Passenger Cars, Minivans, and SUVs, Production, Recreational Products, Sales

Office: India Office

2025-09-13

New GST Is Game Changer for Autos, Tractors

Aditya Kondejkar

The September 2025 GST Council meeting introduced sweeping tax revisions that significantly lower GST rates across multiple vehicle and farm equipment categories. Tractors and their components now attract a 5% rate (from 12% for standard tractors, and from 18% for parts), while small cars, two-wheelers (up to 350cc), three-wheelers, buses, and certain commercial vehicles are enjoying reduced GST from 28% to 18%.

These changes are expected to improve affordability, stimulate demand (especially in rural and semi-urban areas), boost manufacturing and ancillary industries, and lead to job growth across the value chain.

Source: The Times of India. Read The Link

Categories: Agricultural, Indian Subcontinent, Legislation, Passenger Cars, Minivans, and SUVs, Production, Sales

Office: India Office

2025-08-26

GST Reform Is Big Opportunity for OEMs

Aditya Kondejkar

India is preparing for one of its biggest tax reforms in recent years, targeting the Goods and Services Tax (GST) structure. If approved, the proposal will slash GST on small cars and two-wheelers from 28% to 18% and reduce GST on insurance premiums to between 5% and zero. The change, expected around Diwali, has the potential to reshape production planning and sales strategies for automobile manufacturers.

Source: Reuters. Read The Article

Impact on Small Cars and Two-Wheelers. Small cars and two-wheelers have traditionally been the backbone of India’s automobile industry, serving middle-class buyers who are highly price sensitive. However, in recent years, growth in these categories has slowed as buyers shifted toward SUVs, which now account for nearly half of passenger vehicle sales. By lowering taxes, the government aims to make small cars and two-wheelers more affordable, correcting the imbalance in demand and giving OEMs in these categories a much-needed boost.

Categories: Commercial Vehicles, Indian Subcontinent, Legislation, Motorcycles, Recreational Products, Sales

Office: India Office

2025-08-16

South Korea, US Agree on 15% Tariffs

Akihiro Komuro

The South Korean government has reached an agreement with the United States regarding tariff negotiations. Mutual and automobile tariffs will be reduced to 15%, which is the same rate as those of Japan and the European Union (EU).

According to the Korea Trade and Investment Promotion Agency (KOTRA), automobiles are South Korea’s leading export to the United States. Exports to the United States account for over 50% of South Korea’s total automobile exports. The South Korean government prioritized reducing automobile tariffs and engaged in negotiations with the United States.

Categories: Production, Sales, South Korea, Tariff

Office: Japan Office

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