India stands on the brink of a transformative shift in its automotive landscape, with electric vehicles (EVs) set to play a pivotal role in establishing the nation as a global leader in sustainable transportation. As the world’s fourth-largest automaker, India, home to one-sixth of the global population, is preparing for an energy transition that promises to reshape its economy.
The EV market is projected to surge from a valuation of USD 3.21 billion in 2022 to an astonishing USD 113.99 billion by 2029, reflecting the burgeoning demand for cleaner, more efficient transport solutions. G20 Sherpa and former CEO of NITI Aayog, underscores the urgency of this transition, stating, “If we don’t shift now, we risk missing the opportunity to become the world’s largest EV manufacturer.” With ambitious projections suggesting that India could capture a 30% market share of EVs by 2030—translating to around 80 million vehicles on the road—the nation’s potential is undeniable. Additionally, the EV battery market is anticipated to grow from USD 16.77 billion in 2023 to USD 27.70 billion by 2028, highlighting the integral role of battery technology in this ecosystem. The government’s strategic framework, encapsulated in the 7C vision—Common, Connected, Convenient, Congestion-free, Charged, Clean, and Cutting-edge—aims to facilitate this transition through initiatives such as low-cost financing and the establishment of robust charging infrastructure. Ashim Sharma from NRI predicts that vehicle penetration could reach 12%-15% by 2030, positioning India alongside established markets in the US, Europe, and China.
S&P Global Mobility offers an optimistic outlook, forecasting that electric car penetration could achieve 19% by 2030 and 32% by 2035. This movement towards EV adoption is not merely a trend; it is a necessity driven by environmental imperatives and the urgent need to combat urban pollution. Innovative business models like Battery-as-a-Service (BaaS) and positive consumer feedback are essential to catalyse this change. Local sentiment reflects a strong desire for progress, as many citizens express hope that EV adoption will not only enhance mobility but also contribute to cleaner air and reduced carbon emissions. The emotional appeal of a sustainable future resonates deeply, as families consider the long-term health benefits for their communities. There is also an emerging recognition that India has the potential to innovate in battery technology and engineering talent, particularly for small and mid-sized vehicles. As India navigates this critical juncture, the collective enthusiasm and determination of stakeholders—from government officials to everyday citizens—will be instrumental in realising a sustainable automotive future. The road ahead is not without challenges, but the vision of an electric future energises a nation ready to drive change.
