EV Industry Report India 2025 | Market Trends & Projections

Executive Summary

India’s electric vehicle (EV) industry has entered a phase of rapid expansion in 2025. Spurred by government subsidies, rising fossil-fuel prices, and mounting environmental concerns, the market was valued at USD 8.49 billion in 2024 and is projected to exceed USD 30 billion by year’s end¹. Sales hit a new high of 2 million units in FY 2025—a 15.6 percent increase over FY 2024²—and charging infrastructure grew from 1,800 public stations in 2022 to over 12,146 by late 2024³. This report dives into market dynamics, sales performance, policy frameworks, charging networks, key players, challenges, and future outlook. Platforms like Ecozaar remain essential for consumers navigating this evolving landscape.

1. Market Size & Growth

1.1 Overall Market Valuation

In 2024, India’s EV market was worth USD 8.49 billion, up from USD 6.02 billion in 2023⁴. Analysts forecast a compound annual growth rate (CAGR) of 40.7 percent from 2025 to 2030, with the market potentially exceeding USD 100 billion by 2030⁴.

1.2 Vehicle Sales by Segment

EV penetration varies across vehicle classes:

Segment 2024 Sales 2025 (Apr) Penetration
Two-Wheelers 1.3 million units 5.5 %⁵
Three-Wheelers 700,000 units (57 % share)⁶ 30.9 % (L5 passenger 3W)⁷
Passenger Cars ~100,000 units (2 % share)⁸ 3.5 %⁷

1. Grand View Research; 2. EVIndia; 3. LinkedIn Pulse

2. Charging Infrastructure

2.1 Station Growth

India’s public charging network expanded from 1,800 stations in 2022 to over 12,146 by 2024—a nearly 9× increase in two years³. As of April 2025, consumption at public charging points rose from 52.88 MU in April 2024 to 83.30 MU in February 2025⁹.

2.2 Regional Distribution

The top states for charging stations (as of April 2025) are:

State Stations
Maharashtra1,850
Delhi1,420
Karnataka1,300
Tamil Nadu1,150
Gujarat850

3. LinkedIn Pulse; 9. ET Energy

3. Government Policies & Incentives

3.1 FAME II & e-Drive Scheme

The Faster Adoption and Manufacturing of Hybrid & Electric Vehicles (FAME II) scheme, extended through 2025, has allocated INR 10,000 crore in subsidies for electric buses, cars, and two-wheelers. Under the PM’s e-Drive Scheme, Delhi received 2,800 e-buses, Bengaluru 4,500, and Hyderabad 2,000 in early 2025¹⁰.

3.2 State-Level Incentives

Key state incentives include:

10. Economic Times

4. Key Industry Players

4.1 OEM Roadmaps

11. Reuters

5. Challenges & Opportunities

Financing Gap: A flawed EV finance ecosystem is hindering adoption. Market size is projected to rise from USD 2.4 billion in 2025 to USD 19.9 billion by 2030 but lacks transparent lending options¹².

Consumer Awareness: Only 2 % of car buyers chose EVs in 2024; education campaigns are critical to boost confidence¹³.

Rural Reach: EV penetration in rural India remains below 1 %; tailored subsidies could unlock vast new markets.

12. ET Small Biz; 13. Down To Earth

6. Future Outlook

By 2030, India aims for:

Technological advances—like solid-state batteries and V2G (vehicle-to-grid) integration—will further enhance convenience and grid resilience.

6. ET Brand Equity; 14. IEA