Registered EV sales in India in 2020 dropped by 26% on yoy basis

The past year brought in a major shift in the course and dynamics of global markets. The e-mobility or the electric vehicle (EV) domain, just as any other industry, was vastly influenced by the effects of the global pandemic. Different YOY trends depicting the wavering track of EV sales is briefed hereafter.

The overall registered EV sales Pan-India in 2020 dropped by 26% from 2019 sales. The year 2019 continues to be landmark year for highest annual sales for registered EVs yet, achieving the 1,60,000+ milestone.

Prior to Covid-19, the market growth had been on a decline for about 12-18 months, on account of weakening demand amidst an ailing economy. Furthermore, the EV sales was severely hampered during April-May 2020 on account of covid-induced lockdown. However, with EV sales resurging beyond May-2020 at an average month-on-month growth rate of nearly 70%, the year 2020 saw sales crossing the 1,00,000 mark.

Figure 1: Registered EV Sales trends in India

EV sales in India

Source: Vahan Dashboard, JMK Research

Note: Sales figure represent EVs registered across 1,269 RTOs in 33 states/ UTs

The sales growth of High Speed (Registered) E2W Sales shrunk to 11% in 2020 relative to sales in 2019. Hero Electric, along with Okinawa, Ampere, Ather have been the leading players in the high speed (HS) electric two wheeler (E2W) segment in the past 4 years. Hero Electric is the leading player with maximum HS E2W sales in 2020. Ampere also showed substantial increase in its sales in 2020 with an annual increase of 277%. Revolt Motors which launched in late 2019 itself has also seen significant surge in its sales from mere 480 units in 2019 to 2,088 units in 2020.

Figure 2: Annual High Speed (Registered) E2W Sales

EV sales in India

Source: Vahan Dashboard, JMK research

Note: Sales figure are for only high range E2W models with speed higher than 25kmph.

Sales figure represent E2Ws registered across 1,268 RTOs in 33 states/ UTs.

Assumption: Sales of top players- Hero Electric, Okinawa, Ampere, Ather and Revolt together constitute 90% share of the total HS E2W market.

Sales of registered electric three wheelers (E3Ws) decreased by 33% in 2020 compared to 2019 sales. Interestingly, the share of Cargo (Goods) type E3Ws out of the total E3Ws has risen from 3% in 2019 to 6% in 2020.

Figure 3: Annual Registered E3W Sales

Source: Vahan Dashboard, JMK Research

Note: Sales figure represent E3Ws registered across 1,268 RTOs in 33 states/ UTs.

The emergence of Covid-19 and its consequential impacts on the business environment realigned the focus on green investments. Stronger consumer affinity towards pollution-free personal mobility post Covid-induced lockdown as well as falling upfront costs of EVs owing to the apparent declining battery prices will now catalyse the rate of e-mobility adoption in India.