According to a recent report in The Times of India, EV sales across segments reached 2.02 million units on 25 November. While that is a milestone for the market, it represents only a modest 3.5 per cent increase from 1.95 million units a year earlier.
The year-over-year growth could increase by next month, but it is unlikely to come anywhere close to last year’s 27 per cent, suggests Crisil Ratings Director Poonam Upadhyay. The industry faced major production setbacks earlier this year because of a shortage of magnets, but it has since overcome this constraint.
The Indian government has been gradually reducing subsidies and other incentives on EVs. Yet, falling battery prices, an improving charging network, and the arrival of more advanced models with longer ranges have helped sustain demand.
Two-wheelers remain the major contributor to India’s EV market. With 1.2 million units already sold, the segment has already exceeded the full-year 2024 total of 1.15 million units. Similarly, electric three-wheelers form the second-largest EV segment, with year-to-date sales standing at approximately 690,000 units, nearly matching the full-year 2024 total of approximately 691,000 units.
Electric cars are seeing a much stronger growth compared to two- and three wheelers this year. Year-to-date sales stand at 156,455 units, up 57 per cent from the entire 2024 volume of 99,429 units. “While charging infrastructure remains a consideration for long-distance travel, it’s no longer a major concern for urban buyers who can rely on home and workplace charging,” Updhyay said.
Leading Indian carmakers such as Mahindra and Tata Motors are easing range anxiety with premium EVs that are significantly more practical in terms of range and charging speeds. Next month, India’s no.1 carmaker, Maruti Suzuki, will launch its first EV – the e-Vitara, a move that could draw a large pool of value conscious buyers who have so far held back and further drive up adoption.
indiatimes.com
