India witnessed a tremendous 91% increase in its electric car sales in 2023-2024 compared to the prior fiscal year, EMobility+ reports.
FY 2023-2024 sales results
According to the report, India’s electric car industry sold a total of 90,468 units in FY 2023-2024.
While the EV market remains a small fraction of the country’s overall automotive industry, electric cars managed to achieve a whopping 91% year-on-year increase.
For reference, India’s overall automotive sector sold almost 4 million cars in FY 2023-2024. This figure reportedly accounts for 16% of the total vehicle sales in the local market in the said period.
In addition, electric cars’ share of the overall car sales also grew by a notable 2.3% from just 1.3% in the previous fiscal year. This rate indicates the accelerating EV penetration in the local market.
Since 2015, the cumulative number of EV registrations in the country totaled 168,000 by March 2024. This figure signifies the EV market’s gradual yet constant growth over the past decade.
Driving factors
The significant growth in electric car sales in India demonstrates local customers’ growing acceptance and interest in clean and innovative mobility.
The report cited various factors driving the progressive EV uptake in the country, including environmental concerns, government incentives, and technological advancements.
Major automakers continue to launch a wide range of electric vehicle models to meet the demand in various segments.
Battery technology advancements also continue to improve electric vehicles’ driving range and charging time. In effect, EVs become more attractive and practical among Indian buyers.
Tesla’s potential arrival can further boost India’s EV industry
Tesla Chief Executive Elon Musk recently hinted that the American electric vehicle giant will soon penetrate the Indian market, along with his other companies.
CEO Musk congratulated Indian Prime Minister Narendra Modi for winning the recent government election on Saturday. At the same time, he teased in an X post that his companies will soon launch “exciting work in India.”
The Tesla boss’ remarks stimulated excitement among Tesla and tech enthusiasts. Its imminent arrival will undoubtedly solidify the Indian EV industry further.
