India's electric vehicle (EV) market continues to gain momentum, with significant growth recorded in the first quarter (Q1) of 2025. The latest data reveals promising trends across two-wheelers, three-wheelers, and four-wheelers, solidifying India's push towards sustainable mobility.
EV sales in Q1 2025: A positive surge
Electric vehicle sales in India reached 514,198 units in Q1 2025, marking a 3% year-over-year (YoY) increase compared to 499,930 units in Q1 2024. This growth highlights the increasing adoption of EVs nationwide.
EVs now contribute 8% of total automobile sales, with overall automobile sales reaching 6,371,476 units in Q1 2025. According to data from the Ministry of Road Transport and Highways, India now boasts over 5.91 million registered EVs.
Segment-wise breakdown of EV sales
Electric two-wheelers
- Two-wheelers remain the dominant segment, accounting for nearly 59% of total EV sales (305,217 units).
- Bajaj Auto led with 77,860 units sold.
- TVS followed with 73,384 units.
- Ola recorded 56,465 units, while Ather sold 40,476 units.
- Hero Motocorp contributed 14,132 units to the market.
Electric three-wheelers
- Electric three-wheelers comprised 34% of total EV sales, amounting to 172,633 units.
- Mahindra Last Mile Mobility dominated with 18,638 units sold.
- Bajaj Auto followed with 15,236 units.
- Other key players included YC Electric (10,705 units), Saera Electric Auto (6,577 units), and Dilli Electric Auto (5,367 units).
Electric four-wheelers
- Electric four-wheelers represented 6% of total EV sales, with 31,136 units sold.
- Tata Motors led the segment with 12,582 units.
- MG Motor followed with 11,499 units.
- Mahindra & Mahindra recorded 2,834 units, Hyundai sold 1,935 units, and BYD India achieved 924 units.
Government support for EV expansion
India's EV growth has been bolstered by strong government support. In 2024, EV sales reached a record 1.95 million units, reflecting 27% YoY growth from 1.53 million units in 2023.
To further accelerate adoption, the Ministry of Heavy Industries recently mandated 100% domestic content for 18 EV components across all categories, making manufacturers eligible for subsidies under the PM E-Drive program.
The PM E-Drive initiative launched with an outlay of ₹109 billion (~$1.29 billion), focusing on demand incentives, EV deployment, and charging infrastructure development.
Additionally, ₹36.79 billion ($438.1 million) in subsidies has been allocated to promote electric two-wheelers, three-wheelers, e-ambulances, e-trucks, and e-buses. This funding aims to support the deployment of:
- 2.479 million electric two-wheelers
- 316,000 electric three-wheelers
- 14,028 electric e-buses
With strong government backing, increasing consumer interest, and growing investments in EV infrastructure, India's electric vehicle industry is set for an exciting future. As demand rises across all segments, stakeholders must continue innovating to drive long-term sustainability and adoption.