Industry Forecast: FY26 Set to Be a Strong Year for 2-Wheelers – Market ImplicationsIndia’s 2-wheeler industry is poised for a sharp rebound in FY26, supported by rural demand recovery, urban replacement needs, and growing electric vehicle (EV) adoption. After pandemic-related slowdowns and muted growth, the segment is entering a high-growth phase, making it a key sector for equity investors.Key Growth Drivers:- Rural Recovery: A favorable monsoon and rising rural incomes are expected to lift entry-level bike sales, especially in the commuter segment.- Urban Demand: Increased mobility and aspirational upgrades in cities are driving demand for scooters and premium motorcycles.- EV Momentum: Government incentives, expanding charging infrastructure, and new EV launches are accelerating electric 2-wheeler adoption.Share Market Impact:- OEMs in Focus: Stocks like Hero MotoCorp, Bajaj Auto, and TVS Motor stand to gain from volume growth and operating leverage. Bajaj and TVS are also gaining traction in exports and EVs.- Auto Ancillaries: Tyre, battery, and component makers like Exide, Amara Raja, Minda Corp, and Endurance Tech could benefit from increased production volumes.- EV Ecosystem: Companies such as Greaves Cotton and Olectra Greentech, involved in EV supply chains, may attract fresh investor interest as electric adoption grows.- Margin Expansion: Better capacity utilization and higher operating leverage are expected to improve margins and drive earnings upgrades.Bottom Line:FY26 could mark a cyclical high for the 2-wheeler industry, driven by broad-based demand and EV growth. For investors, this is a strategic moment to monitor fundamentals, volume trends, and EV strategy across both OEMs and ancillary players.