The Federation of Automobile Dealers Associations (FADA) reported healthy increase in electric vehicle (EV) sales in October 2024 marking a 55.16% year-on-year (YoY) and 36.44% month-on-month (MoM) growth. This surge is largely attributed to the festive season demand during Navratri and Deepawali, which significantly boosted consumer interest across multiple EV segments with manufacturers offering benefits and offers across segments. A strong push towards increasing, and more importantly maintaining the charging infrastructure is thus needed to support all this demand.
E2Ws Leading With Substantial Growth
Electric two-wheelers remain a key driver of the EV market, recording 139,159 units sold in October, up from 75,165 in the same month last year. This 85.14% YoY growth shows the appeal of two-wheelers as an efficient urban transport option. On a MoM basis, two-wheeler sales also rose by 54.61% from 90,007 units in September. Players like Ola Electric and TVS Motor Company led this growth with robust sales increases, with Ola reporting a 74.33% YoY rise and TVS marking an 81.23% YoY gain. These companies have effectively capitalised on growing consumer interest with competitive pricing and attractive features, reinforcing electric two-wheeler' position as a practical choice for Indian consumers.
E3Ws Show Promising Urban Mobility Solutions
Electric three-wheelers saw a notable 17.83% YoY increase in sales, reaching 67,171 units in October 2024, compared to 57,006 units in October 2023. MoM growth stood at 6.79%, with sales increasing from 62,899 units in September. This segment now accounts for a 54.7% market share within EVs, highlighting its role in urban mobility. Companies like Mahindra Group and Mahindra Last Mile Mobility Ltd saw substantial YoY gains, with the latter showing an impressive 175.79% increase. The robust performance in this segment reflects a rising demand for electric options in last-mile connectivity, which is critical for urban logistics and public transportation.
Electric CV Show Growth In Niche Segment
The electric commercial vehicle (CV) market remains a niche but growing segment. Sales in October reached 864 units, reflecting a 50% YoY growth from 576 units last year and a modest 1.05% MoM rise from 855 units in September. Tata Motors led the segment with 479 units sold, representing a 3.0% YoY increase. The demand for electric CVs, although small, is gaining traction as companies increasingly seek sustainable logistics solutions. With a 0.89% overall EV market share, electric CVs are gradually becoming a viable option for commercial applications, particularly within short-distance urban routes.
Electric PVs At Steady Rise
Electric passenger vehicles (PVs) registered significant growth with 10,609 units sold in October, an 80.61% MoM increase from 5,874 units in September and a 39.12% YoY rise from 7,626 units in October 2023. Tata Motors dominated this segment, selling 6,152 units and showing a 9.9% YoY gain, while MG Motor India saw an impressive 168.01% YoY increase, selling 2,530 units. Electric PVs now hold a 2.2% market share, a reflection of Indian consumers’ growing acceptance of EVs for personal transport. The steady rise in this segment is indicative of an emerging trend where consumers increasingly prefer eco-friendly alternatives for daily commuting and personal use.
According to C S Vigneshwar, President, FADA, October 2024 marked a pivotal month for India’s EV market, driven by both festive demand and an increasing shift towards sustainable transport. With two-wheelers holding a 6.7% EV market share and three-wheelers reaching 54.7%, the figures reveal a clear inclination towards electric alternatives in both personal and public transportation. The steady performance in the commercial and passenger vehicle segments further signals a positive trajectory for EV adoption in India.
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October 2024 Auto Retail Surge Reflects Festive & Rural Demand: FADA