India’s EV Market in June 2025

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1. Electric Vehicle (EV) Market Trends

India’s electric vehicle market continues its rapid ascent, registering a 28.6% year-on-year sales growth in June 2025. More than 180,000 EVs were sold in the month, highlighted by strong gains in every segment:

  • Electric Passenger Vehicles (e-PVs): This segment nearly doubled, with sales increasing 80% to over 13,000 units. EVs now account for 4.4% of all passenger vehicle sales in India, up from 2.5% last year. Tata Motors remains the market leader, while global brands like Kia (with the launch of Carens Clavis EV) are now targeting the Indian EV space.

  • Electric Two Wheelers (e-2Ws): Over 105,000 units sold in June—a rise of 31.7% year-over-year. This segment makes up 7.3% of all two-wheeler sales, driven by models from TVS, Ola, and Bajaj.

  • Electric Three Wheelers (e-3Ws): These vehicles, crucial for urban mobility and last-mile delivery, now contribute more than 60% to the EV ecosystem with over 60,000 units sold.

  • Electric Buses & Commercial Vehicles: The commercial EV market also set new records, with e-bus and cargo EV adoption supported by state and urban transport bodies.

  • Market Penetration: Overall EV penetration for four-wheelers reached 4.5% in June, cementing electric cars as a mainstream choice.

2. Government Schemes & Policy Push

The central and state governments are the primary catalysts behind India’s EV surge:

  • FAME-II and PM e-Drive Schemes: Over 18.8 lakh (1.88million) EVs have benefited from the central FAME schemes as of June 2025, which offer upfront subsidies and incentives for both vehicle buyers and manufacturers. FAME-II continues to lower EV purchase costs, complemented by toll tax exemptions, road tax waivers, and interest in the anticipated FAME-III phase.

  • PLI Scheme for Batteries: Drives domestic production of advanced battery cells, with cash incentives linked to sales of locally manufactured batteries, propelling Indian innovation and self-reliance in the EV supply chain.

  • Investment-driven Policy: The newly launched Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI) rolled out an online application portal in June 2025, aiming to attract foreign investment and technology transfer for EV innovation. The scheme encourages both global and Indian automakers to ramp up R&D and manufacturing infrastructure for electric mobility.

  • State Subsidies: Leading states offer their own subsidies and fee waivers, further incentivizing adoption in cities like Delhi, Maharashtra, and Gujarat.

3. Charging Infrastructure Boom

India’s EV revolution is underpinned by a rapidly expanding charging ecosystem:

  • Charging Network Growth: As of June 2025, India boasts more than 26,300 public EV charging stations, double the number from two years ago. Over 13,000 were installed in 2024 alone, reflecting a huge ramp-up. Public and private sector operators like Tata Power, Zeon, IOCL, HPCL, and BPCL are energizing both urban centers and highways.

  • Quality & Upgrades: The last quarter saw a 25% growth in connectors (CCS2 and Type2, mainly). Major upgrades are ongoing, with partnerships like HPCL-Statiq and Jio-bp opening previously captive chargers to the public. Tata.EV now funds upgrades in the CPO network, often providing discounted rates to Tata EV users.

  • Smart Charging, Renewable Integration: The industry is moving toward digital platforms for charger discovery, real-time updates, and user experience. Government “green tariff” initiatives allow renewable energy-powered charging, and demand-response/dynamic pricing features are now emerging.

  • Future Roadmap: Experts say India may need 1.3million charging stations by 2030; the current pace suggests exponentially more opportunities for charger providers, digital platform operators, real estate owners, and fleet managers.

4. What It Means for Indian Consumers & Businesses

  • Cheaper Ownership: With FAME-II, state incentives, and low running costs (~₹1–1.5/km for EVs vs. ₹6–8/km for petrol vehicles), electric vehicles are fast becoming the most economical choice.

  • Sustainability: India’s push for domestic battery manufacturing and renewable-powered charging will further reduce emissions and foster energy independence.

  • Business Opportunity: As workplaces, residential societies, malls, and highways expand their charging capacity, suppliers of EV charging management software and hardware have a multi-billion-dollar growth market.

India in June 2025 stands at the threshold of an e-mobility revolution, powered by world-class technology, forward-thinking policies, and unprecedented adoption among both individuals and businesses. The road ahead offers vast opportunities for innovators and solution providers across the EV and charging ecosystem.

 

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