New Delhi, April 25 -- India's commercial vehicle (CV) industry is expected to reach a record volume of around 12.4 lakh units in fiscal 2027, surpassing its previous peak in fiscal 2019, according to a report by Crisil Ratings.

The sector witnessed a strong recovery in fiscal 2026 with 13 per cent growth. However, on a higher base, growth is projected to moderate to 5-6 per cent in fiscal 2027.

Domestic Demand to Remain Strong

Domestic demand, which accounts for nearly 92 per cent of total volumes, is expected to remain the key growth driver. Infrastructure activity, replacement demand, and improved affordability following last year's Goods and Services Tax (GST) rate cut are likely to support demand, the report noted.

The GST reduct...