The Indian automobile industry is experiencing a robust demand upcycle, anticipated to last for the next 2-3 quarters. According to a report by Antique Stock Broking, the sector began the fiscal year 2027 with strong growth across various vehicle categories, including passenger vehicles (PVs), commercial vehicles (CVs), two-wheelers, and electric vehicles (EVs). The report highlighted a 20% year-on-year increase in domestic wholesale volumes for passenger vehicles in April 2026, with Tata Motors and Maruti Suzuki leading the charge with growth rates of 31% and 32%, respectively. The commercial vehicle segment also saw a 16% increase, driven by infrastructure demand, with Tata Motors achieving 28% growth. Two-wheeler sales rose by 30%, led by Hero MotoCorp's remarkable 85% increase. Despite these positive trends, the report warns of potential risks from escalating geopolitical tensions, higher freight costs, and supply chain disruptions that could affect export volumes and profitability in the first half of fiscal year 2027.