CNG overtakes Diesel: Market share grew by over 300% in 5 years

CNG vehicle sales are expected to hit 1 million units this fiscal year.

The popularity of CNG models has grown at a rapid pace in the last few years. As per the latest figures from the Society of Indian Automobile Manufacturers (SIAM), the market share of CNG models grew by over 300% in the last 5 years.

The share of CNG models in the total passenger vehicle sales increased from 6.3% in 2019-20 to 19.5% in the last fiscal. In fact, more people opted for CNG cars over diesel models, whose market share remained stable at 17-19% during the same period. The share of petrol cars also saw a dip during this period, dropping from 76.3% to 57.7%.

CNG vehicle sales are expected to hit 1 million units this fiscal year. While overall car sales are estimated to be up by 1-2% in FY2026, the CNG segment could grow by 20%.

According to Vivek Srivatsa, CCO of Tata Motors, the growth is largely driven by individual buyers, even though it is estimated that the taxi segment accounts for about 1/5th of CNG car sales.

Last year, Maruti Suzuki sold over 600,000 CNG cars in India. CNG models accounted for 34% of its total sales. The company hopes to sell around 700,000 units this year.

Source: ET Auto