TL;DR
An IEA report indicates that India's EV adoption is hindered by inadequate charging infrastructure, despite rapid global EV growth.
A new report from the International Energy Agency (IEA), titled 'What Next for the Global Car Industry,' reveals a significant transformation in the global automotive sector driven by the rapid rise of electric vehicles (EVs). While over 20% of cars sold worldwide in 2024 were electric, India's EV adoption lags, primarily due to insufficient charging infrastructure.
The report emphasizes that the pace of car electrification has major implications for the auto industry, oil markets, mineral supply chains, and energy infrastructure. The IEA urges governments and automakers to invest in scaling EV production, developing local battery manufacturing, and establishing secure mineral supply chains.
In regions like India, internal combustion engine (ICE) vehicle sales remain highly relevant, with Japanese carmakers supplying over half of the ICE cars sold. The lack of adequate charging infrastructure is identified as a critical bottleneck for electric-car sales in India. The IEA advises incumbent automakers to balance their ICE legacy business with aggressive investments in EV capabilities to stay competitive in the evolving market.
