Date: January 12, 2024. — In 2023, India experienced a substantial surge in electric vehicle (EV) sales, marking a 49.25% year-on-year increase to reach 15,29,947 units, as reported by the Federation of Automobile Dealers’ Association (FADA). This notable growth surpassed the total sales of 10,25,063 units recorded in 2022. Within the EV market, the two-wheeler segment emerged as the frontrunner, accounting for the largest share. Sales reached 8,59,376 units in 2023, reflecting a 36.09% growth from the previous year. Additionally, the e-three-wheeler segment witnessed a remarkable surge in demand, registering a 65.23% year-on-year increase, totaling 5,82,793 units in 2023.
Moreover, the e-commercial vehicles segment displayed an impressive performance. It experienced a 114.16% year-on-year sales growth, reaching 5,673 units in 2023 compared to 2,649 vehicles in the preceding year. This suggests a growing trend of businesses adopting electric vehicles for their transportation requirements.
Both the volume and value of sales for electric passenger vehicles increased dramatically. Sales of electric passenger vehicles increased to 82,105 units in 2023 from just 38,240 units in 2022, a growth of 114.71%. Between January and December of last fiscal year, the average selling price of electric passenger cars was Rs. 9 lakh, but during this fiscal year, it jumped to Rs. 13 lakh, a rise of Rs. 4.5 lakh.
The FADA research demonstrates a rising customer desire and knowledge for environmentally benign and cost-effective mobility solutions. These solutions are provided by EVs. The government’s measures, such as the FAME II scheme and the National Electric Mobility Mission Plan (NEMMP), have also helped to build the EV business in India.
Ashok Khetan, president of FADA, stated that EVs are becoming more economical and accessible to consumers as battery costs fall and charging infrastructure improves. He also stated that FADA will continue to support and promote EV adoption among dealers and customers through a variety of activities, including training programs and incentive schemes.
