Domestic passenger vehicle sales grew 8.63 per cent to 2,51,642 units in May from 2,31,640 units in the same month last year.
Car sales were up 4.8 per cent at 1,66,630 units as against 1,58,996 units in May last year, according to data released by the Society of Indian Automobile Manufacturers (SIAM).
Motorcycle sales last month rose 7.72 per cent to 10,60,746 units from 9,84,715 units a year earlier.
Total two-wheeler sales in May grew 11.89 per cent to 16,94,325 units as compared to 15,14,334 units in the year-ago month.
Sales of commercial vehicles declined by 6.36 per cent to 53,457 units in May, SIAM said.
Vehicle sales across categories registered a growth of 10.05 per cent to 20,35,490 units from 18,49,542 units in May 2016, it added.