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Even as the buzz around electric vehicles and the shortage of rare earth materials that can impact production gets louder, demand for strong hybrid electric vehicles (SHEVs) has more than doubled in the first quarter of FY2026. As per retail sales numbers on the Vahan portal, a total of 26,460 units were sold between April-June 2025, up 118% YoY (Q1 FY2025: 12,111 units).
In India’s passenger vehicle market, all the three OEMs with strong hybrid models – Toyota Kirloskar Motor, Maruti Suzuki and Honda Cars India – are witnessing growing demand for their seven such models which are powered by the combination of a petrol engine and an electric motor – with the setup being called a hybrid powertrain. While Toyota has four models (Innova Hycross and Vellfire MPVs, Urban Cruiser Hyryder midsize SUV, and Camry Hybrid sedan), Maruti Suzuki has two (Invicto MPV and Grand Vitara midsize SUV), and Honda one (City e:HEV sedan).
Offering the flexibility and ease of use of a traditional IC engine car but with the benefits of electrification, hybrids are the ideal compromise for high-mileage vehicles as they deliver handsome fuel efficiency.
Innova Hycross’ USP is its hybrid system, which enables it to operate in electric mode for about 60% of the time, ensuring better fuel efficiency in the real world.
INNOVA HYCROSS POWERS TOYOTA’S STRONG HYBRID VEHICLE SALES
Riding on robust demand for its strong hybrid Innova Hycross MPV, Hyryder midsize SUV, Camry sedan and Vellfire MPV, Toyota India has doubled its retail sales to 21,489 units in April-June 2025 to maintain its over-80% share. Maruti Suzuki, with 4,745 Grand Vitaras and Invictos, has an 18% share while Honda sold 226 City sedans for a 1% share.
As per retail sales data available on the Vahan portal, Toyota India has carried over the same momentum it displayed in FY2025, when it sold 68,231 strong hybrid vehicles and an 82% market share, in Q1 FY2026. Riding on surging demand for its strong hybrid Innova Hycross MPV, Hyryder midsize SUV and the Camry, the company has increased its retail sales by 100% YoY to 21,489 units in April-June 2025 to maintain its over-80% market share.
On the wholesales front, between April and June 2025, the company has dispatched 80,432 vehicles to its dealers, up 18% YoY. Of this, utility vehicles (68,023 units, up 24% YoY) account for an 84% share. The biggest contributor is the popular Innova MPV available as the Innova Crysta and the Innova Hycross.
In Q1 FY2026, the Innova twins have sold 25,383 units as wholesales, ahead of the Hyryder midsize SUV (19,677 units), Glanza hatchback (11,823 units), Fortuner midsize SUV (8,218 units) or the Urban Cruiser Taisor compact SUV (7,864 units).
What has kept the Innova brand’s demand upbeat is the petrol-only Innova Hycross MPV, which was launched in November 2022 to showcase Toyota’s strengths in hybrid vehicle technology. Powered by a 2.0-litre, 4-cylinder petrol engine combined with a fifth-generation self-charging strong hybrid electric system, the Hycross delivers an impressive power output of 184hp and 188 Nm of torque. An alternative 2.0-litre petrol engine paired with a direct-shift CVT offers 173hp. Another calling card is its spacious premium interiors and plenty of features.
Adding heft to its hybrid vehicles portfolio, Toyota Kirloskar Motor will, later this year, launch its first EV – the Urban Cruiser EV – which will be manufactured at the Suzuki Motor Gujarat plant.
The Maruti Grand Vitara is equipped with the Toyota Hybrid System.
GRAND VITARA REVS UP MARUTI SUZUKI’S HYBRID SALES
Maruti Suzuki India has registered retail sales of 4,745 strong hybrids comprising the Grand Vitara midsize SUV and the Invicto MPV in Q1 FY2026. This translates into a 263% YoY increase (Q1 FY2025: 1,307 units) and an 18% market share in this vehicle category. Both these models are equipped with the Toyota Hybrid System (THS). Compared to the Grand Vitara, demand for the Invicto MPV, which is produced by Toyota Kirloskar Motor for Maruti Suzuki under the global Suzuki-Toyota alliance, has been tepid.
In a move designed to accelerate sales of the Grand Vitara, Maruti Suzuki updated the Grand Vitara in early April with a new strong hybrid variant, more features across the board, six airbags as standard and an automatic transmission option for the AWD variants. Prices for the 2025 Grand Vitara start from Rs 11.42 lakh (ex-showroom, Delhi). Maruti has introduced a new Delta+ trim for the strong hybrid powertrain, making it a little more accessible. Previously, this powertrain was offered only with the top-spec Zeta+ and Alpha+ trims at prices starting from Rs 18.58 lakh (ex-showroom). The new Delta+ strong hybrid lowers that entry price to Rs 16.99 lakh.
On the wholesales front for the April-June 2025 period, the Grand Vitara with 19,179 units was Maruti Suzuki’s fourth highest-selling utility vehicle and the Invicto its lowest-selling UV with 688 units. Nevertheless, the combined sales of the strong hybrid versions of these two models give Maruti have helped increased its retail market share to 18% from 17% in FY2025.
Like Toyota, Maruti Suzuki too will be entering the electric vehicle market with its e-Vitara SUV.
The Honda City e:HEV’s petrol-electric hybrid engine delivers 27.13kpl.
HONDA CITY e:HEV BANKS ON HIGH EFFICIENCY
Honda Cars India, which has only the City sedan on offer with strong-hybrid engine technology, has clocked retail sales of 226 units in Q1 FY2026, up 283% YoY on a low year-ago base of 59 units. This gives it a 1% market share, the same as in FY2025, when the company sold 989 Citys.
Compared to the petrol-engined City, which is priced at Rs 13.87 lakh (on-road Mumbai), the 1.5 i-VTEC e:HEV ZX, which costs Rs 24.03 lakh (on-road Mumbai), is expensive but the fuel economy is exceptional. While the City Petrol’s engine mileage starts at 17.8kpl and goes up to 18.4kpl, the City Petrol-Electric Hybrid engine delivers 27.13kpl.
Maruti Suzuki plans to expand its strong hybrid vehicle line-up with a ‘greener’ version of its premium Fronx compact SUV.
UPCOMING NEW STRONG HYBRID VEHICLES
Following the success of the Grand Vitara midsize SUV and its strong hybrid avatar, Maruti Suzuki India is understood to be working on the launch of a seven-seater version of this variant.
The upcoming Maruti Fronx compact SUV, which was the third highest-selling UV for the company in Q1 FY2026 (37,744 units) is also to benefit from a strong hybrid variant. Interestingly, the Fronx facelift will be the first model to get Maruti’s in-house series hybrid tech that is expected to be significantly cost effective due to its lesser complexity, as compared to the series-parallel hybrid system in the company’s existing models. The Z12E engine that debuted on the new Swift hatchback will be coupled with strong hybrid tech will power the ‘greener’ Fronx. Future models, including the next-gen Baleno, will also benefit from this setup.
Given the Toyota-Suzuki model sharing alliance, there will also be a seven-seater Urban Cruiser Hyryder, the three-row version of the Hyryder, which will share its underpinnings with the seven-seat Grand Vitara.
Meanwhile, last month, at its 2025 Investor Day, Korean carmaker Kia confirmed that it has a new hybrid powertrain for its Seltos midsize SUV and slated to debut in the next-generation model in the second half of CY2025.
Renault India, which plans to begin production of the new petrol-engined Duster SUV in Q3 FY2026, will also be foraying into the hybrid vehicle segment with the rollout of the Duster Hybrid likely in the second half of CY2026.
Even Mahindra & Mahindra, which launched its all-electric SUVs – BE 6 and XEV 9e – in January this year, plans to roll out hybrid version of these two models to achieve greater sales traction than at present.
Hyundai Motor India will join the hybrid vehicle eco-system, starting with the third-generation Creta midsize SUV which will get a hybrid powertrain option in 2027.
Skoda-Volkswagen as well as JSW MG Motor India are also understood to be exploring their entry into the hybrid vehicle market.
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