India, March 5 -- Passenger car retail sales in India climbed to 3.95 lakh units in February 2026, from 3.13 lakh units in the same month last year, marking a growth of 26.12% year-on-year, according to the Federation of Automobile Dealers Associations (FADA). The main contributor to this growth was rural sales, which climbed 34.21% YoY, surpassing the 21.12% increase recorded in urban markets. While the demand in rural markets was supported by healthy demand for entry-level and small cars, SUVs, and utility vehicles continued to dominate overall volumes. FADA attributed February's performance to improved affordability following GST rationalisation, marriage-season purchases, and strong booking pipelines backed by new model introductions....