Government Mandates ABS and Two Helmets for All New Two-Wheelers

Starting January 1, 2026, all new two-wheelers sold in India must feature anti-lock braking systems (ABS), marking a significant expansion from the current mandate for two-wheelers with an engine capacity of 125cc or more. This comprehensive safety directive from the Ministry of Road Transport and Highways targets the alarming statistic that two-wheelers contributed to nearly 20% of India's 1,51,997 road accidents reported in 2022.

The technology prevents wheels from locking during sudden stops, allowing riders to maintain steering control and reduce the risk of skidding, which is critical for urban safety. However, the mandate will impact pricing across the business. Industry analysts project cost increases of ₹2,500-5,000 for entry-level models, which could potentially affect demand in the price-sensitive segment that accounts for 75% of the market.

Despite these concerns, current sales data shows resilience, with motorcycles achieving 9.26 million units (4.6% year-on-year growth) and scooters reaching 6.85 million units (17% growth) in FY25. The 75cc-125cc motorcycle segment alone accounted for two-thirds of domestic sales, showing the regulation's broad impact on India's transportation ecosystem.

Source: Motorbeam