The company has additionally tied-up with a local supplier to source cells for electric cars scheduled for launch over the next few years.New Delhi: In a first, electric vehicle launches in the country in 2025 will outpace those of petrol and diesel cars. Of the 28 launches scheduled this calendar year, as many as 18 are EVs.
The number of EVs set to be launched this year is around four times of 4-5 EV models introduced the past two years, and even higher than total launches of 11 and 15 new vehicles (EV and ICE) seen in 2023 and 2024.
Industry stakeholders expect growth to be driven by these zero emission vehicles, which are estimated to account for over 50% of incremental sales of 200,000 units in the passenger vehicle segment in the ongoing year. With this, the share of electric in total car sales is expected to double to 4% by the close of the year.
Hardeep Singh Brar, senior vice-president and head (sales and marketing) at Kia India, said: "Till now people didn't have the option to buy EVs from their favourite car brand. With many companies planning EV launches, consumers will come back. It EV penetration) should double from here from 2% to 4%."
Hisashi Takeuchi, managing director at the country's largest carmaker Maruti Suzuki, confirmed, "Every manufacturer is thinking how to expand and bring up the electric vehicle market in India. I think EV sales will really grow because so many new products (are getting) introduced in the market."
To ease customer anxiety and accelerate adoption, Maruti Suzuki itself is looking at installing fast-chargers at its dealerships every 5-10 km in the top 100 cities ahead of the launch of its first electric vehicle in the upcoming fiscal year.
In fact, Korean auto major Hyundai expects the share of electric vehicles in total car sales in the country to grow manifold, mid-term. "We see the India electric vehicle market share increase to 15-20% by 2030 (from 2% in 2024). It means big volumes (in a market the size of India). Government initiatives (reduced GST rate of 5% on EVs), many OEMs (Original Equipment Manufacturers) announcing new products will support growth," Unsoo Kim, managing director at Hyundai Motor India, told ET.
To tap into the potential, Hyundai has commenced assembling battery packs in India to keep prices competitive. The company has additionally tied-up with a local supplier to source cells for electric cars scheduled for launch over the next few years. Work is on to set up 600 fast-chargers on major highways across the country by 2030.
Industry estimates sales of electric vehicles to grow at a CAGR (compounded annual growth rate) of 43% to 932,000 units by 2030, with as much as 61% of the demand coming in for electric SUVs. Electric vehicle sales stood at a modest 107,000 units, when about 4.3 million cars, sedan and utility vehicles were sold in the country.
