Top Key Points
- Electric two-wheeler (e2w) sales in India decline by 1.8 percent month on month (MoM) in September 2023, despite strong consumer demand during the ten-day Ganesh Chaturthi festive period.
- E2w registrations were down from 62,683 units in August to 61,576 units in September 2023, as per the data seen from the government’s Vahaan portal.
- Ola Electric maintained its pole position with 18,138 units, followed by TVS in second place with 14,917 units.
- Ather Energy’s electric two-wheeler sales also witnessed a dip of three percent to 6,892 units in September.
- Experts attribute the drop in e2w sales to a minor correction after the market fell to an all-time low of 46,056 units in June, following the reduction of the FAME II subsidy by the government.
- However, they remain optimistic about the long-term growth of the e2w market in India, with sales expected to cross 1.1 million in 2024 and reach close to 15 million by 2030.
- Bajaj Auto was one of the few bright spots in September, with sales of 6,729 Chetak EVs, representing a 3.32 percent increase over its 6,573 sold in August 2023.
- Hero Electric, which introduced premium scooters under the A2b brand, has also begun to show signs of recovery, with vehicle registrations increasing 4.2 percent MoM to 816 units in September.
- India’s Electric vehicle (EV) sales have climbed the one million mark in less than nine months in 2023, a milestone that took an entire year in 2022.
During the ten-day Ganesh Chaturthi festival period, the retail sales of ICE (Internal Combustion Engine) two-wheelers grew by 18.8 percent year on year, reaching 4,67,050 units, compared to the 3,95,394 units sold during the same period in 2022. In contrast, electric two-wheelers (e2w) saw a decrease of 1.8 percent month on month, with registrations dropping from 62,683 in August to 61,576 in September 2023, based on the government’s Vahaan portal data.
Key brands such as Ola Electric, TVS, and Ather Energy witnessed a dip in sales for September 2023 compared to August 2023. However, Bajaj Auto and Hero Electric were exceptions, showing an increase in sales for September.
Uday Narang, Founder of Omega Seiki Mobility (OSM), expressed that the dip is part of the customers resetting their purchase decisions for the upcoming festive season, which spans from October to December. He remains optimistic about the growth of the electric two-wheeler market, suggesting it would cross 1.1 million in 2024 and could reach 15 million by 2030.
Electric vehicle (EV) sales in India crossed the one million mark in less than nine months in 2023, which took a full year in 2022. As per the Government Vahaan portal, around 10,37,011 EVs were registered by the second week of September, making up 6.4 percent of total automobile sales in India for 2023. Out of these, two-wheelers constituted 56 percent of EV sales.