Carmakers in India Plan EV Onslaught in 2025 Despite Slowing Global Demand

Automakers operating in India plan to launch close to a dozen new electric car models this year, many in the premium market, with longer driving ranges and faster charging times, to attract buyers as demand for EVs slows down globally.

Electric cars will take centre stage at India's five-day auto show in New Delhi starting Friday with models from new Vietnamese entrant Vinfast shown alongside domestic brands Maruti Suzuki and Mahindra & Mahindra as well as global rivals BYD, Toyota and Hyundai.

India's EV market leaders Tata Motors and JSW-MG Motor, part-owned by China's SAIC Motor, will showcase an expanded line-up in the world's third-largest car market where tighter emission norms starting from 2027 are forcing a move to cleaner cars.

India's EV market is small, with electric models making up about 2.5 percent of the 4.3 million cars sold in 2024 as high prices and a patchy charging network hold back buyers.

The government wants to grow this to 30 percent by 2030.

Globally, electric car sales growth slowed to 13 percent in 2024 from a year ago but crossed 10 million units for the first time, according to data from research firm RhoMotion.

While EV sales growth in India is also slowing, rising 20 percent in 2024 from a year ago to about 100,000 units, it outpaced the overall car market growth of 5 percent over the same period.

Auto industry executives say new models with longer ranges and faster charging times could lift demand, with analysts forecasting electric car sales in India to double this year.

The first EVs in India, mostly from market leader Tata Motors, were gasoline cars converted to electric, delivering a range of up to 300 kilometres (186 miles) on a single charge, which many found inadequate for inter-city journeys.

The majority of new launches are designed as EVs from the start at a minimum range of 400 km. Some automakers, such as Mahindra, are offering more than 600 km and fast charging from 20 percent-80 percent in under 20 minutes.

Mahindra's two electric SUV launches for this year are priced at $22,000 (roughly Rs. 19 lakh) to $35,000 (roughly Rs. 30 lakh). The average price of a car in India is around $12,000 (roughly Rs. 10.3 lakh), with more expensive models growing at a faster pace than affordable ones.

EV maker VinFast, which is building a car factory in southern India, will display its mini-SUV VF3, a three-row MPV, the VF9, among others.

"India's burgeoning middle class, coupled with strong government incentives to promote EV adoption, makes it a natural focus for VinFast's global expansion," the carmaker said.

South Korea's Hyundai will showcase the India-built electric version of its popular Creta SUV, which it hopes will help take on rivals, while BYD will display its Sealion 7 electric SUV.

Maruti, India's largest carmaker by sales, will display its first EV, the e Vitara SUV which will launch later this year. The car has been jointly developed by Maruti's parent Suzuki Motor and Toyota.

Some carmakers also plan to show other clean fuel technologies such as plug-in hybrid cars, flex-fuel models, hydrogen fuel cell vehicles and gas-based cars alongside EVs.

"The path to a faster electric takeoff really works better if you have all electrified vehicles being encouraged in a proportionate manner," said Vikram Gulati, country head and executive vice president for corporate affairs and governance at Toyota's India unit.

© Thomson Reuters 2025

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)