While mass-market automakers experienced modest gains—or even slight declines—in FY2025, India’s luxury car segment bucked the trend with impressive growth across the board. Leading the charge once again is Mercedes-Benz, which held onto its crown as the top luxury carmaker. Here’s a detailed look at how the key players performed.
Mercedes-Benz India
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4% year-on-year growth
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E-Class LWB is India’s best-selling luxury car
Mercedes-Benz sold 18,928 units in FY2025, achieving its highest-ever annual sales in the Indian market—a 4% increase over FY2024. The E-Class LWB continued its reign as not only Mercedes’ top performer but also the best-selling luxury car in the country.
Demand for Top-End Vehicles (TEVs)—models priced above ₹1.5 crore—remained strong, registering a 34% growth, with standout performers like the G63 AMG, Mercedes-Maybach Night Series, and the all-new electric G-Class. Mercedes’ electric portfolio also expanded significantly, led by the EQS SUV, which became its best-selling EV. The brand’s overall EV sales were up by 51% year-on-year.
SUVs remained dominant, contributing 60% of total sales. However, the final quarter (Q4) of FY2025 saw a dip of 11.8% in retail sales, closing at 4,775 units, primarily due to lower demand in the entry-level segment. Despite this, the TEV segment continued to grow with a 6% increase in the same period.
Jaguar Land Rover India
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40% year-on-year growth
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Defender leads the lineup
Jaguar Land Rover (JLR) recorded 6,183 unit sales in FY2025, achieving a massive 40% growth year-on-year—its best performance ever in India since entering the market 17 years ago. The Defender, which is fully imported, was the standout model, growing by a remarkable 90% over the previous year.
Local assembly also paid off, with the Range Rover and Range Rover Sport seeing 72% and 42% growth, respectively.
In Q4 FY2025 alone, JLR posted record-breaking results: 1,793 units sold, up 110% year-on-year, and 1,710 wholesales, up 118%, making it the brand’s strongest quarter ever.
Lexus India
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19% year-on-year growth
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NX SUV continues to be the top-seller
While Lexus didn’t disclose exact sales numbers, it confirmed a 19% year-on-year growth for FY2025. The last quarter also showed positive momentum with a 17% rise compared to Q4 of FY2024.
The NX SUV remained the brand’s top performer, and the LM MPV also saw strong demand throughout the year. In fact, March 2025 marked the company’s highest-ever monthly sales, driven by demand for the NX and RX SUVs.
BMW and Audi India – Q4 Performance
Both BMW and Audi haven’t shared full-year figures yet, but their Q4 FY2025 results indicate steady growth.
BMW Group India sold 3,914 units in Q4, including 3,764 BMWs and 150 Minis, up 7% from the previous year. Of this, 646 units were electric vehicles, reflecting a 206% jump in EV sales year-on-year. The newly launched 5 Series LWB became the company’s top-selling sedan for the quarter. Other LWB models like the 3 Series, 7 Series, and iX1 are also seeing growing traction. SUVs formed 55% of BMW’s total Q4 sales, with 2,079 units sold.
Audi India, meanwhile, reported 1,223 units sold in Q4 FY2025, up 17% from the same period last year. Its pre-owned division, Audi Approved Plus, also posted a strong 23% growth. The Q7 and Q8 continue to be key volume drivers, while the new RS Q8 has already sold out until Q3 of FY2025.
Conclusion
FY2025 has turned out to be a banner year for India’s luxury auto market, defying broader industry trends. Mercedes-Benz remains the undisputed leader, but JLR’s rapid growth and Lexus’ consistent performance indicate a shifting dynamic in the high-end space. With a strong focus on SUVs, electrification, and premium experiences, the segment is clearly on an upward trajectory.
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