Uttar Pradesh has emerged as the frontrunner in electric vehicle (EV) adoption across India, registering a record 2,75,833 electric vehicles in FY25, according to data from Vahan, the national vehicle registration portal.
Nationally, 11,67,720 electric vehicles were registered between April 2024, and March 2025. Following Uttar Pradesh, Maharashtra came in second with 1,00,801 registrations, trailed by Karnataka (88,060), Tamil Nadu (76,359), and Assam (59,358).
The data reflects India’s accelerating shift toward clean mobility, supported by government policies, industry investment, and growing consumer awareness.
Globally, the EV market is booming. Valued at US$ 255.54 billion in 2023, it is projected to skyrocket to US$ 2,108.80 billion by 2033, growing at a CAGR of 23.42%, according to the Indian Brand Equity Foundation (IBEF).
India, too, saw a significant rise in EV sales. In January 2025, monthly EV sales reached 1,69,931 units, marking a 19.4% increase from December 2024 and a 17.1% Year-on-Year rise.
Looking ahead to FY26, EV penetration is expected to deepen with the launch of new four-wheeler models and continued competition in the electric two-wheeler segment. Industry analysts forecast a 25% growth in two-wheeler volumes after the segment crossed 1 million units in FY25.
“Intensifying competition and focus on market share are stretching the break-even timelines of EV players,” said Anand Kulkarni, Director at Crisil Ratings Ltd. He noted that pure electric two-wheeler makers are incurring an average EBITDA loss of ₹20,000-30,000 per vehicle in FY25, though these losses have been gradually reducing.
Affordable models with smaller battery packs and a narrowing cost gap with ICE vehicles—down to 5–10%—are expected to further drive EV adoption, as per ICRA.
With strong policy support, rapid model diversification, and greater awareness, experts predict exponential growth in EV adoption across all vehicle categories in the coming years.
