Electric vehicle sales soared 55.2 percent in July: FADA

Last month, electric two-wheeler sales soared to 107,016 units, up nearly 96 percent from 54,616 units a year ago. Electric three-wheeler sales also rose by 18.18 percent reaching 63,667 units compared to 58,873 units in July last year.

Sales of electric vehicles jumped by 55.2 percent year-on-year in July, reaching 179,038 units, according to the Federation of Automobile Dealers Associations (FADA). This surge was driven mainly by a 96 percent increase in electric two-wheeler sales.

In July 2023, electric vehicle sales totalled 116,221 units. Last month, electric two-wheeler sales soared to 107,016 units, up nearly 96 percent from 54,616 units a year ago. Electric three-wheeler sales also rose by 18.18 percent reaching 63,667 units compared to 58,873 units in July last year.

Sales of commercial vehicles also saw a significant increase, doubling to 816 units in July from 364 units the previous year. However, passenger vehicle sales fell slightly by 2.92 percent with 7,541 units sold compared to 7,768 units in the same month last year.

FADA President Manish Raj Singhania noted that the strong growth in electric two-wheeler and three-wheeler sales reflects a growing acceptance and demand for electric vehicles in India. The market share for electric two-wheelers and three-wheelers was 7.4 percent and 57.6 percent respectively, in July 2024.

Although the passenger vehicle segment saw a small decline, maintaining a market share of 2.4 percent the commercial vehicle segment experienced remarkable growth with a market share of 1.02 percent

Singhania attributed the boost in sales to attractive discounts and the expected end of the Electric Mobility Promotion Scheme (EMPS), even though it has been extended. Announced by the Ministry of Heavy Industries in March, the scheme was originally set to run from April 1, 2024, to July 31, 2024, with a budget of ₹ 500 crore. It has now been extended to September 30 and the budget increased to ₹ 778 crore.