TL;DR
Chinese-backed automotive brands are rapidly gaining market share in India's electric vehicle segment, now holding nearly one-third of the total sales.
Chinese-owned automakers are rapidly increasing their footprint in India's electric passenger vehicle segment, now commanding nearly a third of the market. Brands such as BYD, MG Motor, and Volvo (backed by Geely) have successfully attracted Indian consumers with their advanced technology, competitive pricing, and improved range and reliability. This significant shift underscores a growing interest from more Chinese EV manufacturers in entering the Indian market.
In under two years, these firms have surpassed several South Korean and German rivals, accounting for 33% of the market volume by October of this year, a stark contrast to 2019 when no Chinese brand had sold a single battery electric vehicle in India. Industry experts note that the influx of Chinese-linked companies has broadened consumer choice, introduced faster upgrades in battery technology, and accelerated the adoption of premium features.
Despite geopolitical complexities, the promise of rapid growth continues to attract investments. While Indian-owned companies like Tata Motors and Mahindra & Mahindra still lead overall in battery electric vehicle sales, with 101,724 units sold until October this year, the rising presence of international players signifies a new phase for India's EV market. Localisation and alignment with government schemes such as FAME-II and PLI remain crucial for domestic firms to maintain their competitive edge.
