India’s electric vehicle market reached a major milestone in 2025 as total EV sales surged by 16 percent year on year, crossing the 22 lakh unit mark for the first time. The strong performance signals that electric mobility in the country is steadily moving from early adoption toward wider acceptance, supported by improving product choices, rising consumer awareness, and gradual expansion of charging infrastructure.
According to data released by Federation of Automobile Dealers Associations, the growth was broad based across vehicle segments. Electric two wheelers continued to dominate volumes, driven by urban commuters and last mile delivery services that value low running costs and ease of use. Three wheelers also remained a key contributor, reinforcing India’s position as one of the world’s fastest growing markets for electric last mile mobility.
Passenger electric vehicles emerged as one of the fastest growing categories in percentage terms during the year. Although they still account for a smaller share of overall EV volumes, the sharp rise in sales reflects increasing buyer confidence in electric cars. Improved driving range, better feature offerings, and a growing number of models at different price points have helped make EVs more attractive to private buyers.
Commercial electric vehicles also recorded healthy gains, pointing to the early stages of electrification in fleet and logistics operations. Businesses are increasingly exploring EVs as a way to reduce operating costs and meet sustainability goals, particularly in urban transport and short haul applications where electric vehicles are well suited.
The 2025 performance highlights how policy support, manufacturer investment, and consumer readiness are beginning to align. Incentives at the central and state level, along with local manufacturing and expanding charging networks, have created a more favorable ecosystem for EV adoption. At the same time, rising fuel prices and environmental awareness are pushing buyers to seriously consider electric alternatives.
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