Suzuki sees CNG and hybrid vehicles as the next logical step into the electric transition. Of India’s big three passenger vehicle OEMs, which consist of M&M, Tata Motors and Maruti Suzuki, two have already announced their focus on pure electric vehicles. Mahindra and Mahindra (M&M) will be launching electric SUVs on its new platform, Inglo electric platform. Hyundai, Kia, MG, Volkswagen and several other auto players are looking to launch a mass-market battery-operated car over the next one or two years. However, an increasing number of players are focusing on low-price cars suited for the mass market. The pace of EV sales is likely to accelerate with the attractive pricing on the Tiago EV. The company sold 19105 EVs in FY22 and has already sold 9283 EVs just in the first quarter of FY23. The relatively low prices for the cars have allowed Tata Motors to grow its volumes in the EV business quickly. The second-cheapest electric car in India is the Tigor EV, which is also manufactured by Tata Motors. The recently launched Electric Tiago has an introductory price of Rs 8.49 lakhs – the first Indian electric car to have a price under Rs 10 lakhs. Tata Motors is the first original equipment manufacturer to sell an EV at sub-Rs 10 Lakh rates. However, there are several signs that India could see an increasing number of mass-market offerings in the electric passenger vehicle space. India, which is a price-sensitive market, has been a tough nut to crack for EV-makers since higher prices would mean lower volumes of sales – which could ultimately mean that the returns do not justify the investments made in the country. Some OEMs have taken a wait-and-watch approach in order to check the demand for EVs, and not eat into their own ICE market. Other players are looking toward battery-swapping in order to reduce the upfront cost of the EV. Japanese OEMs such as Toyota and Suzuki have been sceptical of EV adoption due to several factors, including affordability, and have allocated significant resources towards hybrid vehicles. Market participants have resorted to different means to make EVs affordable and convenient. So far, most EV models have catered to a smaller audience base that can afford to pay a higher price for these vehicles, with batteries making up a bulk of the costs. In contrast, Tata Motors’ electric offerings are priced under Rs 15 lakh, making them accessible to a wider audience.Īffordability is one of the main pain points for EV-makers since there is a significant price difference between internal combustion engine (ICE) vehicles and electric vehicles (EVs). At upwards of Rs 20 lakhs, MG’s electric offering, MG ZS Electric EV, priced significantly higher than Tata Motors’ offerings, is making it an out-of-reach product for several market segments. Other players followed a similar model and spun off EV units to explore fundraising opportunities. The EV business was spun-off into a separate entity, and it raised capital from investors last year to scale up its offerings. While other companies in the Indian market, such as Mahindra and Mahindra and Maruti Suzuki, have taken a cautious approach to EVs, Tata Motors has rapidly expanded its EV business. India’s electric passenger vehicle market is dominated by Tata Motors, which holds around 85 per cent of the EV market, followed by MG, which holds an 11 per cent stake in the market. However, electric passenger vehicles accounted for 0.5 per cent of total sales in 2021. Over the first six months of the current financial year, EVs contributed to 3.6 per cent of total two-wheeler sales. The total sales would reach 2.34 lakh units if one were to include slow-speed scooters. High-speed two-wheelers saw a 425 per cent jump in sales in 2021, with nearly 1.43 lakh units being sold. While two-wheeler EVs do not have a similar penetration rate, the absolute numbers of vehicles sold and the growth rates indicate strong buyer interest. On the EV two-wheeler side, sales of high-speed scooters accounted for 1.16 per cent of the overall market in 2021. Electric Vehicles (EVs) have witnessed stupendous growth in India over the last few years, with two-wheeler and three-wheeler EV sales going through the roof.Īccording to the Federation of Automobile Dealers Associations, 40 per cent of the three-wheeler being sold are EVs.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |