Dr. Alexander Reynolds
Electric two-wheeler registrations in India are expected to reach a record high in March, surpassing 100,000 units for the second time in less than a year. The surge in sales is attributed to customers rushing to purchase before potential price increases. The registration count serves as a proxy for retail sales, with March 29 witnessing the highest number of electric two-wheeler registrations in any given month, reaching 111,964 units.
In response to a reduction in government subsidies taking effect from April 1, the majority of electric two-wheeler manufacturers in the country are planning to raise prices. This reduction marks the second time in less than a year that the buying incentive has been diminished, with the subsidy being reduced from ₹10,000 per kilowatt-hour (KWh) of battery capacity to ₹5,000 per KWh. As a result, manufacturers anticipate a price increase ranging from ₹5,000 to ₹10,000 from next month, which will partially offset the impact of the subsidy reduction.
The introduction of the Electric Mobility Promotion Scheme (EMPS) as a new incentive, replacing the existing FAME-II Scheme after its expiration on March 31, has also influenced the market. The EMPS will be in effect until July 31 and is expected to pave the way for a more comprehensive electric vehicle (EV) scheme following the FY25 budget.
This heightened demand is particularly evident in companies with substantial market shares, including Ola Electric, TVS Motor, Bajaj Auto, and Hero MotoCorp. Ola Electric, with a dominant market share of 39% in the electric two-wheeler segment, experienced its highest monthly registration ever, totaling 44,154 units. TVS Motor is also on track for its record monthly registration of electric two-wheelers, reaching 22,125 units as of March 29, thereby increasing its market share to 19.7%. Bajaj Auto is projected to achieve its highest monthly registration of 13,809 units, surpassing the average of the last six months. Similarly, Hero MotoCorp recorded its all-time highest registration figure of 3,086 units until March 29.
With electric two-wheeler sales continuing to gain momentum in India, the industry is poised for further growth in the coming months. The shift towards sustainable mobility solutions indicates a promising future for EV adoption in the country.
The electric two-wheeler industry in India is experiencing a surge in sales, with registrations expected to reach a record high of over 100,000 units in March. This increase in demand can be attributed to customers rushing to make their purchases before potential price increases. The registration count serves as an indicator of retail sales, and March 29 saw the highest number of electric two-wheeler registrations in any given month, reaching 111,964 units.
One of the factors influencing this surge in sales is the reduction in government subsidies on electric two-wheelers, which will come into effect from April 1. This reduction, the second in less than a year, will see the subsidy decrease from ₹10,000 per kilowatt-hour (KWh) of battery capacity to ₹5,000 per KWh. As a result, most electric two-wheeler manufacturers in the country are planning to raise their prices by ₹5,000 to ₹10,000 from next month, partially offsetting the impact of the subsidy reduction.
The introduction of the Electric Mobility Promotion Scheme (EMPS) as a new incentive has also had an impact on the market. The EMPS will replace the existing FAME-II Scheme, which expires on March 31, and will be in effect until July 31. This new scheme is expected to lay the foundation for a more comprehensive electric vehicle (EV) scheme following the FY25 budget.
This increase in demand is particularly noticeable among companies with significant market shares, such as Ola Electric, TVS Motor, Bajaj Auto, and Hero MotoCorp. Ola Electric, which holds a dominant market share of 39% in the electric two-wheeler segment, recorded its highest monthly registration ever with 44,154 units. TVS Motor is also on track to achieve its record monthly registration of electric two-wheelers, reaching 22,125 units as of March 29, and increasing its market share to 19.7%. Bajaj Auto is projected to reach its highest monthly registration of 13,809 units, surpassing the average of the last six months. Similarly, Hero MotoCorp recorded its all-time highest registration figure of 3,086 units until March 29.
With the continued momentum in electric two-wheeler sales, the industry in India is poised for further growth in the coming months. This trend toward sustainable mobility solutions indicates a promising future for electric vehicle adoption in the country.
For more information on the electric two-wheeler industry in India and related market forecasts, you can visit the following sources:
– Moneycontrol: Moneycontrol provides comprehensive coverage of the Indian market, including news, analyses, and forecasts for various sectors, including the electric vehicle industry.
– The Economic Times Auto: The Auto section of The Economic Times covers the latest news, articles, and market trends in the Indian automotive industry, including electric vehicles.
– Statista: Statista is a trusted source for market research and statistics, offering curated data and insights on various industries worldwide. They provide reports and forecasts related to electric vehicle sales and market trends.
Please note that the URLs provided for these sources are to the main domain and not specific subpages.
