Mercedes-Benz Leads Premium Car Sales as Audi Shares Drop in Q1 FY 2025

An insightful analysis of FY25 luxury car sales in India highlighting Mercedes-Benz’s market leadership, Jaguar Land Rover’s rapid growth, and BMW’s steady rise in the automotive market.

By Utsav Chaudhary

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Jul 30, 2025 05:19 am IST

As the buzz revolves around inflation and price hikes in the community of goods and services. Car sales have been growing spontaneously. Not only the passenger car market, but also the premium car sales have been dominating the Indian market. In FY 2025, intense competition has been seen among the top premium brands. According to the latest official sales data, Mercedes-Benz has retained the top spot in the premium car market.

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In India, premium car brands carved a small segment in the market. However, three car brands with strong sales portfolios have been witnessing the growing demand. These are Mercedes-Benz, BMW, and JLR. Let us take a deep look at the sales figures for the premium car brands sold in India.

Brand	FY 2025	FY 2024	YoY Growth
Mercedes-Benz	18,928	18,123	+13%
BMW	15,995	15,420	+5%
JLR	6,183	4,436	+40%
Audi	5,993	7,049	-15%
Volvo	1,750	2,150	-18.6%

Mercedes leads the market with a 30 percent market share

Mercedes-Benz India has topped the charts with the highest number of premium car sales in FY 2025. The German automaker has sold around 18,928 premium cars in FY 2025, compared to 18,123 in FY 2024. These sales figures show a year-on-year increase of 13 percent in India. The most demanding models were the E-Class LWB and SUVs, including the AMG G63. The brand also reported a 51% surge in electric vehicle sales.

BMW Grows Steadily by 9.5%

BMW India has been going on an upward trajectory. With 14,966 units sold in FY 2025, BMW claims the second spot in the premium car market. The brand has gone through 9.5% year-on-year growth. This boost in sales is attributed to the market with the distribution of X1 and X5 SUVs. The BMW X1 alone contributes 30% of sales in India. The electric portfolio includes the iX1 and the i7 sedan, with around 10% of total sales.

Jaguar Land Rover Surges with 40% Growth

Tata-owned Jaguar Land Rover has seen a comprehensive shift in sales figures under the portfolio. With 6,183 units sold in FY 2025, reflecting a 40% increase as compared to the previous year’s sales of 4,436 units in FY 2024. Jaguar, on the other hand, has been struggling with its EV variants. The company has reportedly stopped the launch of the upcoming EVs till next year. Whereas, with locally assembled models like the Defender and Range Rover Sport, sales have witnessed a 72% growth.

Audi and Volvo Face Shares Drop

Audi has been struggling with market diversity. They have been affected by nearly 27% year-on-year, dropping from 7,949 units in FY 2024 to 5,816 units in FY 2025. The brand sold only 905 units in Q2 in 2025, which again signifies the 37% in 2024. Volvo also experienced a decline, though specific sales volumes for FY25 were lower compared to others, with a reported drop from 2,150 to 1,750 units.

Conclusion:

The recent sales report signifies that Mercedes-Benz is dominating the premium car sales in India. This is due to the strong customer-relationship portfolio. The car is being monitored as per the preferences of the customers, including sales and services too. However, Volvo and Audi face a share drop amidst the challenges.

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