Consistent month-on-month growth augurs well for this EV sub-segment. Tata Motors maintains commanding 85% share while MG Motor India takes 8% with a single product.
11 Oct 2022 | 35224 Views | By Ajit Dalvi
Not a day goes by without news electric mobility, be it about electric vehicles, new technology advances or sales numbers. Demand and sales of electric two- and three-wheelers – the ‘low-hanging fruit’ of the Indian EV industry – have been on the upswing for quite some time now. In fact, ...
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Not a day goes by without news electric mobility, be it about electric vehicles, new technology advances or sales numbers. Demand and sales of electric two- and three-wheelers – the ‘low-hanging fruit’ of the Indian EV industry – have been on the upswing for quite some time now. In fact, at 277,910 units, sales of e-two-wheelers in April-September 2022 are a 404% increase over H1 FY2022’s 55,147 units. While the electric car sector’s numbers are nowhere near that volume given their substantially higher pricing, the fact is that demand is on the rise.
The latest retail numbers, as tweeted by FADA’s Vinkesh Gulati, reveal that cumulative retails in the first six months of FY2023 have crossed 18,000 units. At 18,142 units, this sub-segment of the EV industry has registered a 268% year-on-year growth (H1 FY2022: 4,932 units). Importantly, there is month-on-month growth (see data table below). Q2 FY2023’s (July-September 2022) 10,015 units are a 23% increase on Q1’s (April-June) 8,127 units.
Tata Motors’ commanding 85% market share
Market leader Tata Motors, which has two EVs on sale – Nexon EV and Tigor EV – has an overwhelming 85.53% share of the market with its 15,518 units. This makes for a monthly average of 2,586 units.
The company had sold a total of 19,105 units in FY2022 – its first-half FY2023 tally is already 81% of that. Tata, which is gunning for overall PV sales of 500,000 units this fiscal, is targeting EVs to have 10 percent of that – at present, it is 34,482 units shy of that target with six months to go for end-FY2023. The recently launched Tiago EV, India’s first sub-Rs 10 lakh electric car, could provide the charge from January 2023, when deliveries are slated to begin.
MG Motor India takes 8% share
MG Motor India, with its premium ZS EV, is the No. 2 EV OEM in the rankings chart with 1,591 units. Having sold 727 units in the first quarter of FY2023, Q2 sales of 827 units are a 19% increase. This gives it an 8.32% market share which is creditable, given that the company has only a single EV on sale versus Tata’s two.
The company is seeing considerable demand for its sole EV on offer, simply because the skyrocketing fuel prices are pushing multi-car households to switch to at least one EV in their garage. Moreover, the ZS EV in its facelifted avatar introduced in March this year, offers 42km more range than before, taking the ICAT-certified number to 461km from its 50.3kWh lithium-ion battery pack, that too has grown 13 percent larger in size. With a smart uptick in the adoption of EVs in the market especially after Covid, the company is now focusing to tap volumes by entering the more affordable segment. Work is underway to bring a compact two-door EV, based on the Wuling Air EV, next year, in the Rs 10-15 lakh price range.
Hyundai Motor India, with 309 units, is the third-placed OEM and has recorded its highest monthly retail in September: 74 units. While the Kona, Hyundai’s sole EV, may not appeal to those who like their SUVs to look rugged, it comes with green credentials that are the envy of most cars, as per Autocar India. It can go up to 300km on a single charge and takes just 57 minutes for a full chrge using a DC fast-charger.
BYD India’s Atto 3 SUV to check in today
BYD India, which is to launch its all-electric Atto 3 SUV today, has sold a total of 264 e6 MPVs in the past six months, which gives it No. 4 position in the rankings table. The Atto 3 will join the Rs 25 lakh-35 lakh EV SUV segment in India, which includes models like the MG ZS EV and the Hyundai Kona. Company insiders say that the electric SUV's E platform, which has been designed to take on the likes of Tesla, is expected to provide better driving comfort than its rivals. The Atto 3 is BYD’s second model in the passenger vehicle segment in India, following the e6 MPV.
The BYD Atto 3 electric SUV is close to 4.5 metres long and is already on sale in right-hand-drive markets like Singapore, Australia and New Zealand. The Atto 3 will come to India via the SKD (semi-knocked down) assembly route and join the all-electric e6 MPV – recently launched for private buyers at Rs 29.15 lakh (ex-showroom, India) – at BYD’s plant in Sriperumbudur near Chennai. Deliveries for the BYD Atto 3 EV SUV are expected to start early next year.
Meanwhile, the luxury car players – Mercedes-Benz, BMW, Audi, Jaguar Land Rover – have between them retailed 233 electric cars. Mainly brought as CBUs to India as a halo product, these cars essay the latest in EV technology the world has to offer.
Growth outlook: Sales can only get better
Given the pace of growth in H1, the EV industry can be expected to notch consistent, if not rapid, progress in the two quarters of FY2023. There continues to be a gradual shift of ICE buyers to electric cars, in the face of high petrol and diesel prices as well as the marked rise in CNG price, which was recently hiked for the seventh time this year.
Some challenges remain in the form of inadequate charging infrastructure and high initial EV prices, which is directly related to the battery cost. With OEMs’ sharpened focus on localisation with a view to reduce costs and enhance affordability, and battery prices expected to reduce gradually, there is a belief that things can only get better for this four-wheeled form of eco-friendly mobility.
Data: courtesy Vinkesh Gulati/Twitter
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