As per MRFR analysis, the India Electric Mobility Market Size was estimated at 9.93 (USD Billion) in 2023. The India Electric Mobility Market Industry is expected to grow from 11.46(USD Billion) in 2024 to 50 (USD Billion) by 2035. The India Electric Mobility Market CAGR (growth rate) is expected to be around 14.327% during the forecast period (2025 - 2035).
The India Electric Mobility Market is witnessing a significant transformation driven by multiple key market drivers. A primary factor is the government’s strong push towards sustainable transportation. Initiatives such as the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme aim to incentivize the use of electric vehicles (EVs) while also promoting local manufacturing. Additionally, rising fuel prices and growing environmental concerns are prompting consumers to shift towards electric alternatives. This shift aligns with India's commitment to reducing carbon emissions and combating climate change, enhancing the attractiveness of electric mobility solutions among the general populace.
Opportunities to be explored in the India Electric Mobility Market are vast. The increasing investment in charging infrastructure presents a significant growth avenue. Urban areas, especially, can benefit from enhanced charging facilities as manufacturers and energy companies collaborate to build a reliable network. Furthermore, advancements in battery technology and lowering battery costs are creating new prospects for local businesses and startups, fostering innovation that can address the unique challenges of the Indian market.
The expansion of EV offerings, catering to various segments, including two-wheelers, three-wheelers, and commercial vehicles, is also crucial.Trends in recent times show a surge in consumer awareness and acceptance of electric vehicles in India. There is a noticeable increase in the number of models available to consumers, with several automotive giants launching electric variants of their popular models.
Additionally, various states are introducing their own policies and incentives to promote EV adoption, contributing to a more favorable ecosystem for electric mobility. The advent of electric two-wheelers and three-wheelers has particularly resonated well in densely populated cities, indicating a shift in consumer behavior towards electric mobility solutions. Overall, the combination of government support, technological advancements, and changing consumer preferences paints a promising picture for the future of electric mobility in India.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The Indian government has recognized the promise of electric mobility and has launched a number of efforts to encourage the use of electric vehicles (EVs) throughout the country. For example, the Faster Adoption and Manufacturing of Electric Vehicles in India initiative seeks to give financial incentives for electric vehicle purchases, including subsidies of up to 1.5 million INR for electric buses. Furthermore, rules are being established under the National Electric Transportation Mission Plan, which aims to provide a comprehensive ecosystem for electric transportation.
The Indian government's support is a driving factor for the India Electric Mobility Market Industry, as it aims for 30% electric vehicle penetration by 2030, which represents significant growth based on recent projections from governmental sources, indicating that approximately 6.1 million electric cars could be on the road by that year if current trends continue.
As urban pollution becomes a growing concern in India, the demand for cleaner transportation options is on the rise. According to the Central Pollution Control Board, cities like Delhi have recorded alarming levels of air pollution, with PM2.5 levels exceeding 300 micrograms per cubic meter, prompting the need for sustainable alternatives. The increasing awareness regarding climate change and the push for reducing carbon footprints are two significant factors driving the growth of the India Electric Mobility Market Industry.Additionally, organizations like the Bureau of Energy Efficiency are advocating for energy-efficient vehicles as part of a larger sustainability effort, further amplifying the adoption of electric vehicles in response to public demand for better environmental practices.
The increasing volatility of fuel prices in India is another key driver for the electric mobility sector. Over the last five years, fuel prices have surged significantly, with petrol prices reaching as high as 100 INR per liter in several states. This has created a shift in consumer preferences towards electric vehicles as a more economically feasible option in the long run. According to the Ministry of Petroleum and Natural Gas, a greater number of consumers are transitioning to electric mobility as they seek cost-effective solutions, enhancing the appeal of the India Electric Mobility Market Industry.The potential for lower operational costs associated with electric vehicles compared to traditional fossil fuel vehicles adds a further economic incentive for consumers and businesses alike.
Significant advancements in battery technology are fueling the growth of the India Electric Mobility Market Industry. Developments in lithium-ion battery production have made EVs more affordable and accessible. For instance, the reduction in battery costs by approximately 88% over the last decade, according to the International Energy Agency, is encouraging manufacturers to develop advanced electric vehicles with greater ranges and efficiency.
Furthermore, the government's initiative to set up a robust charging infrastructure aims to install approximately 2,800 charging stations nationwide over the next few years.This initiative, supported by partnerships with established players in the automotive and energy sectors, correlates with the projection that by 2030, India could have around 7 million electric vehicles on the road, making charging accessibility a prime focus of development.
The India Electric Mobility Market is experiencing a significant transformation, particularly within the Product segment that includes Electric Bikes, Electric Scooters, Electric Motorized Scooters, and Electric Motorcycles. This segment is gaining traction as both consumers and businesses seek sustainable alternatives to traditional fossil fuel-powered vehicles. Electric Bikes and Electric Scooters are among the most popular choices for urban commuting, driven by rising environmental concerns, government initiatives, and growing urban traffic congestion. These vehicles offer users the convenience of easy maneuverability in crowded cities alongside lower operational costs over time.
Furthermore, initiatives by the Indian government, such as the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme, have accelerated adoption rates by providing financial incentives for electric two-wheelers.Electric Motorized Scooters cater to a niche yet growing audience seeking enhanced mobility solutions. With advancements in battery technology, these scooters are becoming more efficient, providing consumers with improved range and performance. The significant advantage of electric vehicles is their contribution to reducing air pollution, which is a pressing issue in many of India's metropolitan areas. The increasing consumer awareness surrounding climate change and the depletion of natural resources is also propelling demand for eco-friendly transportation options.
In addition, the Electric Motorcycle segment is capturing interest from the youth and tech-savvy demographics who appreciate the blend of performance and sustainability. These motorcycles not only represent a shift toward cleaner technology but also inspire a new lifestyle choice among the younger generation, who are keen to reduce their carbon footprint. The diverse range of products available in the India Electric Mobility Market enhances consumer choice, thereby fostering a competitive atmosphere that can lead to innovation and better products in the future.As manufacturers respond to the changing preferences of consumers, the focus on production efficiency, cost reduction, and enhanced user experience will play a vital role in shaping the future landscape of the market.
Moreover, partnerships between various stakeholders, such as technology firms and automobile manufacturers, are expected to surge, enhancing product development capabilities and accelerating the overall market growth. Further exploring the India Electric Mobility Market segmentation reveals a robust ecosystem driven by technological advancements, policy support, and evolving consumer behaviors, all serving as a catalyst for future developments in the Product segment over the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The Drive segment of the India Electric Mobility Market plays a crucial role in shaping the industry landscape, focusing on efficient power transmission systems. Within this segment, various mechanisms such as Belt Drive, Chain Drive, and Hub Drive serve distinct applications and design requirements, driving innovation and performance in electric vehicles. The Belt Drive system, known for its smooth operation and low maintenance, is ideal for enhancing efficiency and reducing noise levels in urban mobility solutions. Chain Drive, with its ruggedness and reliability, is prevalent in high-performance electric vehicles, making it essential for long-distance travel and rugged terrains.
Hub Drive systems have gained traction due to their compact design and direct power application in wheel assemblies, simplifying the overall vehicle architecture and enhancing space efficiency. The growing need for sustainable transportation in India, supported by government initiatives promoting electric mobility, is propelling advancements in these drive technologies. Market statistics reflect the rising consumer preference for electric vehicles, thus amplifying the importance of various drive systems that cater to diverse consumer needs.
The Battery segment within the India Electric Mobility Market demonstrates a dynamic evolution as the nation accelerates towards sustainable transportation solutions. Lead Acid Batteries have historically played a crucial role, particularly in two-wheeler applications and low-speed electric vehicles, due to their cost-effectiveness and widespread manufacturing capability in India. Meanwhile, Lithium-Ion Batteries are gaining traction, driven by their higher efficiency, lightweight nature, and longer lifespan, making them the preferred choice for electric cars and buses.This shift reflects the growing demand for cleaner energy solutions and the government's push for electric vehicle adoption, supported by subsidies and incentives.
Furthermore, alternative battery technologies are beginning to emerge, focusing on improving energy density and reducing environmental impact. As electric mobility continues to grow, innovations within battery technologies are likely to enhance performance, reduce costs, and address challenges associated with energy storage and recycling while contributing to key market trends shaping the future of the India Electric Mobility Market.Factors such as rising fuel prices and urban air pollution are compelling the industry to explore these battery solutions, which are vital for meeting energy needs and sustainability goals in India.
The India Electric Mobility Market showcases a robust segmentation centered around End-use, particularly reflecting the dynamics in Personal and Commercial categories. Personal electric mobility solutions are increasingly being adopted due to rising environmental consciousness and government incentives aimed at reducing carbon emissions. With an emphasis on sustainability, individuals are gravitating towards electric vehicles for personal use, highlighting the growing demand for efficient transport alternatives. On the other hand, the Commercial segment is gaining traction as businesses recognize the potential for cost savings through electric fleets, alongside a shift towards corporate social responsibility.
Industries such as logistics and public transportation are leading the charge in transitioning to electric vehicles, driven by governmental policies promoting electric mobility and enhancing infrastructure. Investments in charging infrastructure and advancements in battery technology further bolster these segments, creating a promising landscape for growth. With a significant portion of the population in India shifting towards electric mobility for both personal and commercial usage, this sector stands poised for considerable market advancement in the coming years.The shift in consumer preferences and increased support from the government signify promising opportunities in the India Electric Mobility Market, bolstering its potential for sustainability and growth.
The India Electric Mobility Market is rapidly evolving, reflecting significant advancements in technology, changing consumer preferences, and increasing government support. This shift is attributed to a collective global effort towards sustainability and pollution reduction, alongside the growing demand for efficient and environmentally friendly transportation solutions. Electric mobility encompasses a wide range of vehicles, including electric bikes, electric cars, and electric buses, all of which are gaining traction in urban areas due to the increasing concerns regarding air quality and dependence on fossil fuels.
As various players enter this market, competition intensifies, leading to advancements in battery technology, charging infrastructure, and innovative vehicle designs. The Indian government has laid down ambitious targets for electric vehicle adoption, thereby incentivizing manufacturers and suppliers to invest heavily in research and development. This competitive landscape is characterized by both established automotive companies pivoting toward electric mobility as well as start-ups aiming to capture niche segments.TVS Motor Company has been a significant player in the Indian electric mobility landscape. The company has leveraged its extensive experience in the automotive sector to evolve its product offerings and launch electric two-wheelers that cater to urban commuters. Its key strengths lie in its strong brand reputation and vast distribution network, which has enabled it to establish a solid presence in both metropolitan and rural regions.
Additionally, TVS Motor Company has focused on integrating advanced technology into its electric vehicles, enhancing performance and user experience. This commitment to innovation, paired with ongoing efforts to improve manufacturing efficiency and reduce costs, positions TVS as a formidable competitor in the electric mobility segment of India. Furthermore, strategic collaborations and partnerships have allowed the company to expand its reach and accelerate market penetration.Lithion Power is an emerging name in the India Electric Mobility Market, primarily known for its specialized battery solutions for electric vehicles.
The company focuses on developing advanced lithium-ion batteries that maximize energy efficiency and range, catering to the growing demand for reliable battery technology in electric cars and two-wheelers. Lithion Power has established a robust market presence through strategic collaborations with vehicle manufacturers and suppliers, enhancing its capability to serve diverse customer needs. One of its significant strengths lies in its ability to innovate rapidly, leading to the development of high-performance batteries that meet the requirements of various electric mobility applications.
In recent times, Lithion Power has actively pursued mergers and acquisitions to strengthen its technology portfolio and expand its market footprint in India. The company's commitment to sustainability, along with its focus on local manufacturing, contributes to its competitive advantage in the burgeoning electric mobility sector.
In recent months, the India Electric Mobility Market has witnessed notable developments, particularly with companies like Tata Motors and Ola Electric leading advancements in electric vehicle production. In October 2023, Ola Electric unveiled its new electric scooter model, marking a significant expansion of its product line amidst rising consumer interest. TVS Motor Company has also ramped up its electric vehicle offerings, focusing on enhancing battery technology to improve range and efficiency. In September 2023, Mahindra Electric announced plans for a significant investment in R&D for next-generation electric vehicles, reflecting a broader trend toward innovation in the sector.
In terms of market valuation, companies such as Hero Electric and Ather Energy have experienced substantial growth, driven by increased governmental support and favorable policies aimed at promoting electric mobility, including subsidies and tax incentives. Additionally, Ashok Leyland and Bajaj Auto are actively engaging in strategic partnerships to strengthen their positioning in electric commercial vehicles. There have been no widely reported mergers or acquisitions in the sector involving these companies recently, suggesting a focus on organic growth and expansion within the rapidly evolving electric mobility landscape in India.
| Report Attribute/Metric Source: | Details |
| MARKET SIZE 2018 | 9.93(USD Billion) |
| MARKET SIZE 2024 | 11.46(USD Billion) |
| MARKET SIZE 2035 | 50.0(USD Billion) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 14.327% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| MARKET FORECAST PERIOD | 2025 - 2035 |
| HISTORICAL DATA | 2019 - 2024 |
| MARKET FORECAST UNITS | USD Billion |
| KEY COMPANIES PROFILED | TVS Motor Company, Lithion Power, Exicom TeleSystems, Piaggio, Hero Electric, Tata Motors, Chargesmart, Shakti Pumps, Ola Electric, Ampere Vehicles, Bajaj Auto, Ather Energy, Mahindra Electric, Revolt Motors, Ashok Leyland |
| SEGMENTS COVERED | Product, Drive, Battery, End-use |
| KEY MARKET OPPORTUNITIES | Government incentives for electric vehicles, Expansion of charging infrastructure, Growing demand for sustainable transport, Innovations in battery technology, Rise of electric two-wheelers. |
| KEY MARKET DYNAMICS | Government incentives and policies, Growing charging infrastructure, Rising environmental awareness, Advancements in battery technology, Increasing vehicle electrification |
| COUNTRIES COVERED | India |
Frequently Asked Questions (FAQ) :
The India Electric Mobility Market is expected to be valued at 11.46 USD Billion in 2024.
By 2035, the India Electric Mobility Market is projected to reach a value of 50.0 USD Billion.
The expected CAGR for the India Electric Mobility Market during the period from 2025 to 2035 is 14.327 %.
In 2024, the Electric Scooters segment is expected to lead the market with a value of 4.0 USD Billion.
The projected market value for Electric Bikes in 2035 is 13.25 USD Billion.
Major players in the market include TVS Motor Company, Tata Motors, Hero Electric, and Ola Electric among others.
The India Electric Mobility Market faces challenges such as infrastructure development and consumer awareness.
Key growth drivers for the India Electric Mobility Market include government initiatives and rising environmental awareness.
The market for Electric Motorcycles is valued at 2.96 USD Billion in 2024.
The expected market size for Electric Motorized Scooters is projected to reach 10.75 USD Billion by 2035.
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