Hero MotoCorp, the largest two-wheeler manufacturer in India, projects high single-digit volume sales growth for the two-wheeler industry in FY27, buoyed by resilient demand for motorcycles and scooters. In FY26, the company sold 21.71 million two-wheelers, marking a 10.7% increase from the previous year, largely attributed to Goods and Services Tax (GST) cuts implemented in September 2025. CEO Harshavardhan Chitale noted that the industry has started FY27 positively, with no signs of demand softening in early months. Despite rising input costs driven by the ongoing conflict in West Asia, the company has not fully passed these costs onto consumers, leading to a price hike of about 2% across its products. Hero MotoCorp is also ramping up its electric vehicle (EV) production capacity from 15,000 to 25,000 units monthly, with plans for further expansion. The company remains committed to maintaining its margin guidance of 14% to 16%, even as it navigates short-term economic uncertainties and invests in new product development and capacity expansion.