The India EV market is charging ahead with unstoppable momentum, setting new benchmarks in January 2025. As the world shifts toward sustainable mobility, India is emerging as a key player in the global electric vehicle (EV) revolution. According to the Federation of Automobile Dealers Associations (FADA), the country’s EV market has shown remarkable growth across all major segments, including two-wheelers, three-wheelers, passenger vehicles, and commercial vehicles.
This blog dives deep into the latest trends, key players, and future potential of India’s EV market, highlighting why it’s the talk of the town in the automotive world.
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India EV Market: A Snapshot of January 2025
The numbers speak for themselves. In January 2025, India’s EV market continued its upward trajectory, with retail sales surging across multiple categories. The electric two-wheeler segment led the charge, while electric three-wheelers maintained their dominance. Passenger EVs and commercial EVs also posted impressive growth, signaling a broader acceptance of electric mobility in the country.
Here’s a quick overview of the key highlights:
- The electric two-wheeler market share rose to 6.4%, up from 6.1% in December 2024 and 5.4% in January 2024.
- The electric three-wheeler segment retained a commanding 56% market share.
- Electric passenger vehicles saw a 32.28% year-on-year (YoY) growth, while commercial EVs registered steady progress.
Let’s break down the performance of each segment to understand what’s driving this growth.
Electric Two-Wheelers: Leading the Charge
The electric two-wheeler segment is the backbone of India’s EV market, and January 2025 was no exception. With 97,734 units sold, this category recorded an 18.97% YoY increase and a 33.20% month-on-month (MoM) rise.
Key players in this segment include:
- OLA Electric: Dominating the market with 24,336 units sold, OLA Electric saw a 76.72% MoM increase, though sales dipped by 24.94% YoY.
- TVS Motor Company: A close second with 23,809 units, TVS posted a 38.17% MoM growth and an impressive 55.03% YoY increase.
- Bajaj Auto: Achieved a staggering 95.67% YoY growth, selling 21,310 units.
- Ather Energy: Maintained strong performance with 12,906 units sold.
- River Mobility: A rising star, River Mobility recorded an extraordinary 1293.02% YoY growth, selling 599 units compared to just 43 units in January 2024.
The electric two-wheeler segment’s growth is fueled by increasing affordability, government incentives, and a growing preference for eco-friendly commuting options.
Electric Three-Wheelers: The Market Leader
The electric three-wheeler segment continues to dominate India’s EV market, with 59,959 units sold in January 2025. This represents a 12.15% YoY increase and a slight 0.89% MoM growth.
Top contributors in this segment include:
- Mahindra Group: Leading the pack with 6,147 units sold, marking a 31.66% YoY growth.
- Bajaj Auto: Posted the highest growth in this category with a 239.33% YoY increase, selling 5,358 units.
- YC Electric Vehicle: Contributed 3,882 units to the segment.
- Saera Electric Auto: Sold 2,270 units, maintaining steady performance.
While some players like Dilli Electric Auto and Mini Metro EV saw a decline in sales, the overall segment remains strong, driven by its utility in last-mile connectivity and logistics.
Electric Passenger Vehicles: A Rising Star
Passenger EVs are quickly gaining traction in India’s EV market, with 11,266 units sold in January 2025. This marks a 32.28% YoY growth and a 27.70% MoM rise.
Key players in this segment include:
- Tata Motors: Leading the market with 5,047 units, Tata Motors saw a 24.71% MoM growth, though sales dipped by 13.01% YoY.
- MG Motor India: A standout performer, MG Motor achieved a 252.20% YoY growth, selling 4,237 units compared to 1,203 units a year earlier.
- Hyundai: Surged to 321 units from just 19 units in December, reflecting a jaw-dropping 1589.47% MoM growth.
- Other contributors included Mahindra & Mahindra (688 units), BYD India, BMW India, Mercedes-Benz, and Kia India.
The growth in this segment is driven by increasing consumer awareness, improved charging infrastructure, and the launch of new models with better range and features.
Electric Commercial Vehicles: Steady but Promising
The electric commercial vehicle segment recorded 972 units sold in January 2025, reflecting a 39.26% MoM increase and a modest 2.2% YoY growth.
Key players in this segment include:
- Tata Motors: Led the category with 340 units, despite a 25.4% YoY decline.
- Switch Mobility: Posted a remarkable 640.7% YoY growth, selling 200 units.
- JBM Auto: Achieved the highest MoM growth at 380%, though its sales were lower than the previous year.
The commercial EV segment is expected to grow further as businesses increasingly adopt electric fleets to reduce operational costs and meet sustainability goals.
What’s Next for India’s EV Market?
C S Vigneshwar, President of FADA, emphasized the growing focus on green-energy vehicles, further reinforced by the Bharat Mobility Global Expo. With 30–35 new EV launches expected in 2025, India’s EV market is poised for even greater expansion.
Government policies, such as subsidies under the FAME II scheme and state-level incentives, are playing a crucial role in accelerating EV adoption. Additionally, advancements in battery technology and the expansion of charging infrastructure are making EVs more accessible and practical for Indian consumers.
Conclusion: India’s EV Market is the Future of Mobility
India’s EV market is not just growing—it’s transforming the way the country moves. From electric two-wheelers revolutionizing urban commutes to passenger EVs redefining family travel, the shift toward sustainable mobility is undeniable.
As we move further into 2025, the stage is set for India to become a global leader in electric mobility. With strong government support, innovative products, and increasing consumer demand, the future of India’s EV market looks brighter than ever.
If you’re as excited about the EV revolution as we are, stay tuned for more updates on India’s journey toward a greener, cleaner future!
