Gujarat goes full throttle on CNG cars, petrol loses the lead
The tide is turning on Gujarat's roads — and it's powered by CNG. For the first time in Gujarat's auto history,
CNG cars
have outsold petrol ones. In FY 2025, sales of CNG and petrol-CNG vehicles touched 1.25 lakh units, beating
petrol car sales
which stood at 1.18 lakh, according to data by the Union ministry of road transport and highways (MoRTH). The shift signals changing consumer priorities — from power to practicality. As fuel prices rise, buyers are looking for smarter, cheaper ways to commute.
This is a clear reversal of a long-standing trend in a state where petrol has traditionally been the fuel of choice for most car owners. In FY 2021, petrol car sales at 1.39 lakh units were more than three times those of CNG sales of 40,560 units.
Experts attribute the change to rising fuel prices, the growing availability of factory-fitted CNG variants, and the cost advantage of running a car on
compressed natural gas
. "Diesel vehicles are expensive and, therefore, preferred only by SUV owners largely than other smaller compact cars and sedans. In such cases, CNG variants always are preferred for their better range as well as reliability," said Pranav Shah, chairperson of the Federation of Automobile Dealers' Association (FADA), Gujarat.
The CNG boom is largely driven by petrol-CNG variants, which allow buyers the flexibility of running on either fuel while substantially lowering operational costs. "Popular hatchbacks and compact sedans now come with factory-fitted CNG kits, and several manufacturers have ramped up production to meet rising demand," said a car dealer in the city. Dealers say even entry-level SUV buyers are considering CNG options as and when available.
Diesel cars, too, held their ground, with sales touching over 73,000 units this year — slightly higher than last year and up nearly double from FY 2021. The sustained interest in diesel stems from the continuing popularity of SUVs and compact SUVs in Gujarat, a trend which was earlier limited to semi-urban and rural areas only.
While CNG and diesel car sales are holding fort over the past five years, petrol cars have seen a steady decline — from nearly 1.55 lakh units in FY 2023 to under 1.19 lakh this year. As more buyers prioritise running costs, petrol is no longer the default choice it once was.
Electric vehicles (EVs) and hybrids are still a small fraction of overall sales but are beginning to show momentum. Sales of strong hybrid vehicles surged to over 6,300 units in FY 2025, up from just 100 last year, driven by new model launches and rising awareness about fuel economy. EV adoption in the state remains modest at around 6,200 units (including both pure EV and BOV), though experts say the segment is likely to pick up pace as charging infrastructure improves and more mass-market models hit the roads.
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