The Indian electric vehicle market size was valued at USD 3.86 billion in FY2023 and is projected to reach USD 22.95 billion in FY2031, growing at a CAGR of 25.07% between FY2024 and FY2031. The Indian electric vehicle market is being driven by factors such as increased adoption of electric vehicles, low running and maintenance cost, technological innovations and government schemes. As people become more aware about the environmental impact of traditional fossil fuel-powered automobiles, EVs are becoming more popular as a more sustainable and eco-friendly option.
Low Running and Maintenance Cost of Electric Vehicles
Electric vehicles have a lower running and maintenance cost as compared to internal combustion engine. Electric vehicles are more efficient, and when combined with the electricity cost, charging an electric vehicle is less expensive than using petrol or diesel. Electric vehicles are more cost-effective to charge than diesel or petrol vehicles due to their higher efficiency and lower cost of energy.
Download Free Sample Report@ https://www.marketsandata.com/industry-reports/india-electric-vehicle-market/sample-request
Technological Innovations in Electric Vehicle Market
India has been witnessing several technological innovations in the electric vehicle market, with a growing focus on sustainability and reducing carbon emissions. Rapid technological advancements such as constant upgradations in battery, establishment of charging infrastructure and emergence of solar powered EV. Several startups are working on developing EVs with built-in solar panels, which can recharge the vehicle’s batteries while driving or parked in the sun.
Environmental Benefits of Electric Vehicles
Hazardous emissions from petrol and diesel automobiles have long-term negative consequences on health of Indians. Electric automobiles emit far less pollution than petrol or diesel vehicles. Electric vehicles can convert 60% of the electrical energy from the grid to power the wheels, but gasoline and diesel vehicles can only transmit between 17% and 21% of the energy contained in the fuel to the wheels. To reduce the environmental impact of charging electric vehicles, India aims to attain approximately 40% cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030.
Government Scheme
The Indian government has implemented several incentives to promote the adoption of electric vehicles in India. The government provides tax benefits to EV owners. For example, the EV owners do not have to pay road tax and registration fees. The government has also initiated plans to set up charging infrastructure across the country. Exemptions and incentives are being given to EV manufacturers, there is lower tax rate for EV components and manufacturers are exempted from certain duties on imported EV components.
Impact of COVID-19 on India Electric Vehicle Market
The electric vehicle industry witnessed a downward trend during the pandemic phase, affecting the demand for electric automobiles, two-wheelers and three-wheelers. The Society of Electric Vehicle Manufacturers (SMEV) stated that the total electric vehicle registrations fell 20% in FY2021 to 236,802 units, down from 295,683 in FY2020. The supply chain was disrupted by temporarily closed manufacturing facilities, and the industry’s growth was significantly hampered by the lack of raw materials.
Report Scope
"India Electric Vehicles Market Assessment, Opportunities and Forecast, FY2016-FY2030F,” is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of electric vehicles market in India, industry dynamics and challenges. The report includes market size, segmental shares, growth trends, COVID-19 impact, opportunities and forecast between FY2023 and FY2030. Additionally, the report profiles the leading players in the industry mentioning their respective market share, business model, competitive intelligence, etc.
India Electric Vehicle Battery Market The GMI Research speculates that the India Electric Vehicle Battery Market will perceive an expansion in demand over the forecast period.
This is because of the elevating apprehension towards the hazardous effect of fuel-based vehicles on environment and the evolution of several government initiatives.Request a free sample of this reportIntroduction of the India Electric Vehicle Battery Market An electric vehicle consists of an electric traction motor and employs a battery as a power source as an alternative for the internal combustion engine used in gasoline-powered vehicles.
In addition, there are two types of battery applied in an electric vehicle Lithium-Ion and Lead Acid batteries.
Ltd.Suzuki Corporation.Amara Raja GroupToshiba CorporationSamsung SDI, Panasonic.Exicom Power SolutionsDenso CorporationTata MotorsIndia Electric Vehicle Battery Market DynamicsThe augmenting apprehension towards the environment and the accelerating number of government initiatives to decrease carbon emission by inciting electric vehicles are the notable factors responsible for the growth of the India Electric Vehicle Battery Market.
Besides this, the cutback in GST rates and the surging subsidies on commercial electric vehicles executed by the Indian government has supplemented the market growth.Vehicle Segment DriversBased on the vehicle, Four-Wheeler, mainly electric cars, is projected to capture the largest market portion over the coming years.
Moreover, the government of India is offering subsidies to states to install 5,000 charging stations in cities and on highways across the country which will bolster the India Electric Vehicle Battery market share.Battery Type Segment DriversAs per the battery type, Li-ion is expected to dominate the market due to the aggravating number of subsidies introduced by the government and tax benefits offered to produce them under the Modified Special Incentive Package Scheme(M-SIPS).
