India's electric vehicle market has reached a significant milestone with over 5 lakh units sold in the first quarter of 2025 alone, marking a 68% year-on-year growth. The two-wheeler segment continues to lead the charge, accounting for nearly 60% of all EV sales, while electric passenger cars have seen a 120% jump driven by new launches and improved charging infrastructure.
Tata Motors continues to dominate the electric car space with the Nexon EV and Tiago EV, holding a combined market share of over 65%. However, Hyundai, MG, and Mahindra are rapidly closing the gap with competitive offerings. The upcoming launches of the Maruti eVX and Hyundai Creta EV are expected to further intensify competition in the second half of 2025. Government incentives under FAME III and state-level subsidies continue to play a crucial role in making EVs more affordable.
Charging infrastructure has expanded to over 12,000 public charging stations across India, with Tata Power, Ather Grid, and ChargeZone leading the deployment. Industry experts predict that EV penetration in new car sales could cross 10% by the end of 2025, up from about 6% in 2024.