Domestic car sales rose 20.61-per cent to 1,29,683 units in September against 1,07,517 units sold in the same month last year, data released by the Society of Indian Automobile Manufacturers (SIAM) showed.
An improving economy, the festival season, lowering of interest rates, and government incentives saw a spurt in vehicle sales across categories.
Motorcycle sales improved 6.56 per cent to 6,73,891 units in September from last year's figure of 6,32,369 in the same month.
Two-wheeler sales also saw a growth of 7.67 per cent from last year's figures.
Commercial vehicles sales, on a backward growth for quite sometime last year, grew 6.46 per cent to 45,451 units compared to 42,693 units same month last year.
The total increase in automobile sales between April and September was 14.51 per cent compared to last year's figures, while passenger vehicle sales saw an increase of 13.46 per cent.