Electric cars to take centre stage at India auto show

Government wants to grow the small EV market to 30% by 2030

17 January 2025 - 08:28 By Reuters
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Vietnam's VInfast will be one of the brands displaying EVs at the auto Expo in Delhi.
Vietnam's VInfast will be one of the brands displaying EVs at the auto Expo in Delhi.
Image: Reuters

Automakers operating in India plan to launch close to a dozen new electric car models this year, many in the premium market, with longer driving ranges and faster charging times to attract buyers as demand for EVs slows globally.

Electric cars will take centre stage at India's five-day auto show in New Delhi starting on Friday, with models from new Vietnamese entrant Vinfast shown alongside domestic brands Maruti Suzuki and Mahindra as well as global rivals BYD, Toyota and Hyundai.

India's EV market leaders Tata Motors and JSW-MG Motor, part-owned by China's SAIC Motor, will showcase an expanded line-up in the world's third-largest car market, where tighter emission norms starting from 2027 are forcing a move to cleaner cars.

India's EV market is small, with electric models making up about 2.5% of the 4.3-million cars sold in 2024 as high prices and a patchy charging network hold back buyers.

The government wants to grow this to 30% by 2030.

Globally, electric car sales growth slowed to 13% in 2024 from a year ago but crossed 10-million units for the first time, according to data from research firm RhoMotion.

While EV sales growth in India is also slowing, rising 20% in 2024 from a year ago to about 100,000 units, it outpaced the overall car market growth of 5% over the same period.

Auto industry executives said new models with longer ranges and faster charging times could lift demand, with analysts forecasting electric car sales in India to double this year.

The first EVs in India, mostly from market leader Tata Motors, were petrol cars converted to electric, delivering a range of up to 300km on a single charge, which many found inadequate for inter-city journeys.

Most new launches are designed as EVs from the start at a minimum range of 400km. Some automakers, such as Mahindra, are offering more than 600km and fast charging from 20% to 80% in under 20 minutes.

Mahindra's two electric SUV launches for the year are priced at $22,000 (R413,00) to $35,000 (R658,000). The average price of a car in India is around $12,000 (R225,000), with more expensive models growing at a faster pace than affordable ones.

EV maker VinFast, which is building a car factory in southern India, will display its mini-SUV VF3, a three-row MPV, the VF9, among others.

"India's burgeoning middle-class, coupled with strong government incentives to promote EV adoption, makes it a natural focus for VinFast's global expansion," the carmaker said.

South Korea's Hyundai will showcase the India-built electric version of its popular Creta SUV, which it hopes will help take on rivals, while BYD will display its Sealion 7 electric SUV.

Maruti, India's largest carmaker by sales, will display its first EV, the e Vitara SUV which will launch later this year. The car has been jointly developed by Maruti's parent Suzuki Motor and Toyota.

Some carmakers also plan to show other clean fuel technologies such as plug-in hybrid cars, flex-fuel models, hydrogen fuel cell vehicles and petrol-based cars alongside EVs.

"The path to a faster electric takeoff really works better if you have all electrified vehicles being encouraged in a proportionate manner," said Vikram Gulati, country head and executive vice president for corporate affairs and governance at Toyota's India unit.


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