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EV sales in India: EV penetration to grow exponentially, sector's profitability expected to delay take off

Sales of EVs is on a growth path, led by the two-wheeler segment. Penetration of electric two-wheelers in the overall two-wheeler sales increased to about 5% in FY23, though the pace of adoption has slowed over the past few months owing to the reduction in subsidy. To offset the vehicle cost hike owing to reduction in subsidy, electric two wheeler OEMs recently introduced de-spec versions of their existing electric scooters. ....

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EV Sales In India: EV penetration to grow exponentially, sector's profitability expected to delay take off, ET Auto

EV Sales In India: Sales of EVs is on a growth path, led by the two-wheeler segment. Penetration of electric two-wheelers in the overall two-wheeler sales increased to about 5% in FY23, though the pace of adoption has slowed over the past few months owing to the reduction in subsidy. To offset the vehicle cost hike owing to reduction in subsidy, electric two wheeler OEMs recently introduced de-spec versions of their existing electric scooters. ICRA suggests that this is likely to aid adoption over a medium term. It added that volumes need to pick up because that is when the vendor negotiation or the vendor discounts will actually come in, which will eventually help in reaching economies of scale and thus profitability. ....

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