India’s electric vehicle (EV) market continued its rapid expansion in 2025
♦ India’s electric vehicle (EV) market continued its rapid expansion in 2025, with total EV sales touching 2.3 million units and accounting for 8 percent of all new vehicle registrations, according to data from the government’s Vahan Portal. A report by the India Energy Storage Alliance (IESA) said electric two-wheelers remained the biggest driver of growth, with sales of 1.28 million units, making up 57 percent of total EV sales. Electric three-wheelers, including L3 and L5 categories, followed with 0.8 million units, or 35 percent of the market. ♦ Electric four-wheeler sales stood at around 1.75 lakh units during the year, with increasing demand seen in small and light commercial electric goods carriers, indicating rising adoption in the logistics and delivery segments. ♦ India’s overall automobile market recorded 28.2 million vehicle registrations in 2025, of which two-wheelers accounted for 72 percent. Passenger four-wheeler sales crossed 4.4 million units, while tractors and agricultural vehicles exceeded 1.06 million units. ♦ On a state-wise basis, Uttar Pradesh emerged as the largest EV market with over 4 lakh units, representing 18 percent of national EV sales. Maharashtra followed with 2.66 lakh units, or 12 percent, and Karnataka with 2 lakh units, accounting for 9 percent of the total. ♦ India’s EV ecosystem raised over $1.4 billion in 2025, about 27 per cent higher than in 2024.