EV sales in India to grow 66% this year riding on consumer interest, govt initiatives
Updated: Apr 5th, 2024
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| Source: IANS |
Driven by rising consumer interest, government initiatives and infrastructure development, India’s EV sales nearly doubled in 2023 and are likely to grow 66% this year, a report showed today.
Overall, India’s passenger vehicle (PV) sales grew 10% (year-on-year) to surpass 4 million units, its EV sales nearly doubled, rising 97% YoY to account for 2% of the overall PV sales.
By 2030, EVs are expected to represent nearly one-third of India’s PV market, signaling a robust long-term growth trajectory in the country’s automotive sector, according to a research firm.
“As the infrastructure and consumer traction develops, we will see the entry of newer players such as Tesla and fast-growing Chinese brands like Xiaomi, which will catalyse innovation and competition in the world’s fourth-largest PV market,” said the vice president of the research firm.
“We will see players in the broader value chain prioritising India’s market not only to target domestic consumption but also for technology R&D and export opportunities,” he added.
With a strong portfolio and strategic tie-up with Uber, Tata Motors held more than two-thirds of the country’s EV market last year. However, it lost a significant share to Mahindra & Mahindra and BYD.
Recording a 2,476% increase with just one model in its portfolio, Mahindra & Mahindra was the fastest-growing brand in 2023, followed by BYD and MG Motor, said the report.
“EV sales in India are expected to increase by 66% in 2024 to constitute 4% of total PV sales,” the report mentioned.
Maruti Suzuki’s entry into the EV market is expected to shake up Tata’s dominance.
“Moreover, VinFast’s move to build a factory in India’s Tamil Nadu state highlights the growing interest and investment in EV manufacturing in the country,” the report noted.
(Source: IANS)
-Edited for style
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