India’s Electric Mobility Shift: The Rise of TVS and Bajaj in the Two-Wheeler Market
India’s electric two-wheeler (E2W) market has witnessed significant growth in recent years, with legacy manufacturers like TVS Motor and Bajaj Auto making notable strides. Despite facing competition from pure-play electric vehicle (EV) startups such as Ola Electric, Ather Energy, and Ampere Vehicles, these established ICE 2-Wheeler manufacturers have leveraged their experience and infrastructure to capture substantial market share in last 2 years. Their proactive approach in embracing electrification—through timely product launches, investments in EV R&D, and scalable manufacturing—has allowed them to not only stay relevant but also emerge as strong contenders in a fast-evolving segment. As government incentives, improved charging infrastructure, and growing consumer awareness further fuel EV adoption, the role of these legacy players is becoming increasingly central to India’s electric mobility transition.
Their growing presence in the E2W space becomes clearer when looking at how their EV sales and EV penetration have evolved over the past three years.
Fig 1: E2W sales and market share of Bajaj Auto (Chetak) and TVS Motor in last three years
Source: Vahan Dashboard, JMK Research, Telangana Open Data
Bajaj Auto’s (Chetak) sharp rise in market share in FY2025 can be attributed to its focused EV strategy, including the expansion of dedicated Chetak Experience Centres (CECs), which enabled deeper market penetration beyond traditional ICE channels. The launch of the Chetak 35 series in December 2024 further accelerated growth, offering feature-rich variants at competitive prices — a combination that resonated strongly with value-conscious urban and semi-urban buyers.
In FY2025, TVS Motor and Bajaj Auto collectively accounted for ~40% of the E2W market — with TVS at 20.84% and Bajaj at 19.73%. This represents a significant increase from their combined share of ~31% in FY2024. Despite continuing to operate large internal combustion engine (ICE) portfolios, both companies have scaled up their electric offerings, contributing meaningfully to total E2W volumes.
The data suggests a broadening of the competitive landscape, where established players with multi-powertrain portfolios are now capturing a growing share of the E2W market. This points to a maturing industry where market leadership is no longer exclusive to EV-only manufacturers.
A key indicator of this shift is EV penetration rate, which reflects the proportion of total two-wheeler sales accounted for by electric models—highlighting how traditional OEMs are increasingly integrating electric mobility into their core business strategies.
The following data highlights the EV penetration levels for TVS and Bajaj in FY2024 and FY2025, providing insight into how electric sales are evolving within their broader two-wheeler businesses
Fig 2: EV Penetration
Source: Vahan Dashboard, JMK Research, Telangana Open Data
Although total E2W sales for Bajaj Auto showed minimal year-on-year growth in FY2025, the company saw a notable increase in EV penetration, with the share of EV in its overall portfolio rising from 5.36% in FY2024 to 11.01% in FY2025. Meanwhile, TVS Motor recorded a year-on-year growth of 11.32% in total sales, with EV penetration increasing from 6.77% in FY2024 to 7.59% in FY2025.
The increasing availability of electric variants, coupled with these companies’ established dealer networks, aftersales infrastructure, and brand familiarity, is facilitating wider EV adoption. Additionally, targeted product development and gradual capacity scale-ups are contributing to the rise in EV penetration within their portfolios. While their growing volumes and EV penetration reflect a stronger foothold in the market, another critical factor influencing consumer choice is pricing—especially when compared with other key players in the segment.
Table 1: Price Range of E-Scooters by OEMs
Source: Company Website, JMK Research
The table above highlights the broad pricing spectrum of E2W models across key OEMs in India. Among the legacy players, TVS Motor offers the widest price range, indicating a diversified product portfolio targeting both entry-level and premium segments. Bajaj Auto’s models are priced more narrowly, focusing on mid-range consumers.
In comparison, EV-only manufacturers like Ola Electric and Ather Energy also span wide price bands. Ola’s models offer competitive pricing at the entry level. Ather Energy’s range is positioned slightly higher. Ampere, meanwhile, maintains an affordable bracket.
This spread illustrates how both diversified and electric-first OEMs are employing multi-tier pricing strategies to cater to varying consumer segments—from value-focused buyers to premium EV adopters.
The increasing market presence of TVS and Bajaj in the E2W segment reflects how legacy OEMs are actively positioning themselves in response to the sector’s evolving dynamics.
Factors that contributed to the impressive performance of TVS and Bajaj in the E2W segment:
With new participants like Honda also entering the segment, the competitive landscape is likely to become more diverse, potentially accelerating innovation and expanding consumer options in the electric mobility space. This increased competition is likely to reshape market strategies, driving sharper focus on differentiation through technology, performance, and scale—ultimately reinforcing their leadership in India’s evolving electric two-wheeler market