Electric vehicle sales rose 55.2% to 1.79 lakh units in July: FADA

Electric vehicle sales registered a 55.2% on-year growth at 1,79,038 units in July driven by a massive 96% jump in e-two-wheeler sales, automobile dealers' body FADA said on Tuesday.

The total electric vehicle sales for July 2023 were at 1,16,221 units, according to the monthly sales data from the Federation of Automobile Dealers' Association (FADA).

The electric two-wheelers sales during the previous month stood at 1,07,016 units, up 95.94%, from 54,616 units sold in July last year, while the electric three-wheeler sales grew 18.18% at 63,667 units, from 58,873 units year earlier, as per FADA.

The commercial vehicle sales during the reporting month were also on an upward trajectory, growing two-fold on a year-on-year basis to 816 units, from 364 commercial vehicles sold in July 2023, it stated.

Passenger vehicles, however, declined 2.92% at 7,541 units in July, as against 7,768 units in the same month of last year, as per data.

"The rising market share in the 2W and 3W EV segments for July 2024, with YoY growth rates of 95.94% and 18.18% respectively, and a market share of 7.4% and 57.6%, respectively for the month, is a clear indication of the growing acceptance and demand for electric vehicles in India," FADA President Manish Raj Singhania said.

The PV segment, while showing a marginal year-on-year decline of 2.92%, maintains a market share of 2.4%, Singhania said, adding that the CV segment has shown remarkable growth with a year-on-year increase of 124.2% and a current (July) market share of 1.02%.

The combination of attractive discounts and the anticipation of the discontinuation of the EMPS (Electric Mobility Promotion Scheme), despite its extension, has significantly boosted sales, he said.

Announced by the Ministry of Heavy Industries in March, for a four-month period April 1, 2024 to July 31, 2024, to boost the adoption of EVs across the country with a total outlay of ₹500 crore, the EMP scheme has now been extended by September 30, while the scheme's outlay has also been increased to ₹778 crore.