Electric Three-Wheelers Dominate April 2025 EV Sales with 62.7% Market Share

A Strong Shift Toward Cleaner Mobility in India

India’s transition to electric mobility continues to gain momentum, with three-wheelers emerging as the frontrunners in EV adoption. As per the Federation of Automobile Dealers Associations (FADA) retail data for April 2025, electric vehicles accounted for a commanding 62.7% market share in the three-wheeler segment — the highest among all vehicle categories.

Key Highlights from April 2025 EV Trends

The electric three-wheeler segment witnessed significant momentum, outperforming all other vehicle categories in EV adoption.

• Electric three-wheeler market share jumped to 62.7% from 52.5% in April 2024.
   
• CNG and LPG market share dropped to 25.9%, down from 34% a year ago.
   
• Electric three-wheeler sales rose by nearly 50%, reaching 62,533 units.
   
• Top contributors to EV growth: Mahindra Last Mile Mobility, YC Electric, Bajaj Auto, Saera Electric Auto, Dilli Electric Auto, and Piaggio Vehicles.

Rise in EV Adoption Across Segments

While three-wheelers are leading the charge, other segments are also showing signs of progress in EV adoption. In the two-wheeler segment, EV penetration rose year-on-year from 3.97% to 5.44%, although this was a decline from 8.65% in March 2025. The drop is largely attributed to changes in government subsidy policies.

Government Policy Shifts Affecting the Market

In April 2025, under the PM-eDrive scheme, subsidies for electric two-wheelers were reduced to Rs 2,500 per kWh, capped at Rs 5,000 per vehicle. This impacted purchase decisions, especially in the high-volume two-wheeler segment. The broader Rs 10,900 crore scheme, which includes support for e-buses, trucks, ambulances, and charging infrastructure, is expected to run until March 2026.

Passenger Vehicles See Gradual Shift

The passenger vehicle (PV) segment saw modest improvement in EV market share, rising from 2.26% in April 2024 to 3.5% in April 2025. However, it was slightly down from 3.54% in March 2025, reflecting a minor dip in overall car sales.

Commercial Vehicles and Tractors Remain Diesel-Dominated

Despite the progress in smaller segments, commercial vehicles and tractors continue to rely heavily on diesel. Electric vehicles make up only 1% of the commercial vehicle market, while diesel maintains a 100% share in the tractor segment.

ICE Fuel Usage Drops Across Segments

The decline of internal combustion engine (ICE) vehicles is visible in fuel consumption patterns. In passenger vehicles, the petrol-ethanol mix dropped to 50%, down three percentage points from the previous year. Similarly, in two-wheelers, it fell from 96% to 94% over the same period.

Statements from Industry Experts

Commenting on the trend, auto industry analysts highlighted that the steep rise in CNG prices has significantly increased the total cost of ownership, pushing buyers toward electric alternatives. Additionally, consistent product launches and expanding service networks from manufacturers are making EVs more accessible and reliable for commercial use.

Outlook for India’s EV Ecosystem

The data indicates that three-wheelers have become the driving force behind India’s EV revolution, showcasing the potential of targeted electrification in high-usage segments. While ICE vehicles still dominate overall, the country is firmly on track to meet its 2030 goal of 30% EV penetration, provided that policy support, infrastructure development, and product innovation continue at the current pace.

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