India’s Electric Vehicle Sales crossed 2 million in CY2024
The future of mobility is electric, and India is riding the wave of the e-mobility revolution. As of 2024, the country boasts over 5.6 million Electric Vehicles (EVs). Electric vehicle sales in India have reached a historic milestone this year, crossing the 2 million mark for the first time. In 2023, total EV sales were ~1.6 million units; Excitingly, in 2024 that figure surged to over 2 million units, marking a growth of 24%, reflecting an increase in consumer demand. Consequently, the penetration of EVs in India’s overall vehicle market increased to approximately 8%, up from 6.8% the previous year.
An analysis of segment-wise growth in CY2024 reveals key insights
Electric two-wheelers led the charge, dominating the market with nearly 60% of the total electric vehicle sales in India, which translates to 1.2 million units. This segment enjoyed a robust year-on-year growth of approximately 30%, reflecting the increasing preference for e-scooters and e-bikes among urban commuters seeking cost-effective, eco-friendly alternatives.
In a close second, the electric three-wheeler segment, the second largest by volume, has experienced rapid expansion and competitiveness. In 2024, this segment sold 6,94,466 units, representing a YoY rise of ~18%. The electric three-wheeler cargo segment experienced a maximum YoY growth of almost 45%, driven by the thriving logistics and e-commerce sectors, as well as favorable cost economics.
Meanwhile, the electric car segment, though smaller in comparison, continues to show steady progress. With 99,848 units sold with a YoY growth of 6.9%, making up around 5% of total electric vehicle sales in India..
Lastly, the electric-bus sales experienced substantial growth, increasing by 39% in CY2024, reaching 3,834 units. This growth is expected to accelerate further, driven by the targets & incentives under the PM E-DRIVE scheme, which are poised to boost the adoption of e-buses across major cities in the country.
Figure 1: Comparison of EV Sales, Growth Rate, and Market Penetration by Category (CY2023 vs. CY2024)
Source: Vahan Dashboard, Telangana State RTO, JMK Research
*EV sales for CY2024 include Telangana sales up to November 2024 only.
E-2W: Ola Electric once again dominated the segment with 4,25,600 units sold, accounting for 35.42% of the market, followed by TVS Motor Company (19.49%), Bajaj Auto (16.58%), Ather Energy (11.08%), and Hero Motocorp (3.78%). Bajaj Auto had its best-ever annual retail performance with 1,99,206 Chetaks sold, representing a ~145% YoY growth. This accomplishment increased its market share to ~17%, up from ~6% the prior year. Ather Energy had its highest yearly sales in CY2024 with a ~15% YoY rise. Hero MotoCorp saw a nearly fourfold rise in sales of its Vida e-scooters.
E-3w Passenger: The e-3w passenger segment remains highly fragmented, with over 500 players. Mahindra Last Mile Mobility, the market leader, sold 58,983 units in CY2024, representing a robust YoY growth of ~28% and capturing ~10% of the market share. Bajaj Auto, a relatively recent entry in the e-3w category, had an impressive YoY growth rate of 810% in the passenger segment, demonstrating great market traction. On the other hand, Saera and Dilli Electric faced challenges, with both brands experiencing a slight dip in sales, down by 7% and 6% respectively.
E-3w Cargo: In the E3W cargo segment, Mahindra LMM maintained its position as the market leader in CY2024 despite a modest ~0.3% increase in year-on-year growth compared to the previous year. And accounting for ~11% of the market share. Building on its strong performance in the electric two-wheeler and electric passenger three-wheeler segments, Bajaj Auto also made significant strides in the electric three-wheeler cargo segment, recording an impressive YoY growth of ~1290% and securing a 4.7% market share. This remarkable performance was driven by sustained demand for its products, ramped-up production capacity, and an expanded EV sales network.
E-Car: Tata Motors maintained its dominance in the e-car segment with a market share of ~62%,followed by MG Motor India at 22%. Other significant players in the market include Mahindra & Mahindra (7%), BYD (2.85%), and PCA (2.19%). Despite its strong position, Tata Motors had a ~7% YoY fall in sales. In 2024, MG Motor India sold 21,966 EVs, resulting in an amazing ~86% YoY growth.
E-Bus: All key players achieved considerable growth in sales in CY2024, with Tata Motors retaining its leadership position.
Table 1: Comparison of top EV OEMs Sales in CY2024: CY2023 Vs. CY2024
Source: Vahan Dashboard, Telangana Dashboard, JMK Research
*EV sales for CY2024 include Telangana sales up to November 2024 only.
Electric vehicles have emerged as a bright spot in India’s automotive landscape, becoming increasingly mainstream due to rising awareness and supportive government incentives. Schemes like the EMPS and PM E-Drive have played a pivotal role in accelerating this shift. As we look towards 2025, the industry remains optimistic about sustained growth, expecting the momentum of EV adoption to carry forward. However, challenges as rising prices, affordability concerns, and slowing demand in urban markets could hinder growth. In 2024, companies responded to these challenges by offering aggressive discounts, especially during the festive season. With many automakers planning to launch exciting new products in 2025, optimism remains high for broader EV adoption nationwide.