TL;DR
New players like Maruti Suzuki, VinFast, and Tesla are rapidly gaining market share in India's electric passenger vehicle segment, driving an 81.6% year-on-year growth in registrations during the first half of 2026.
India's electric passenger vehicle (e-PV) market is experiencing a significant shift as new players begin to carve out a notable presence. Maruti Suzuki, VinFast, and Tesla collectively registered 12,244 electric vehicles in the first half of 2026, securing an 8.1 percent market share and contributing 18 percent to the incremental registrations during this period. Overall, e-PV registrations surged by 81.6 percent year-on-year, reaching 151,050 units from January to June 2026, compared to 83,190 units in the previous year.
These newcomers gained substantial momentum in the second quarter of 2026. Maruti Suzuki's e-PV registrations rose from 1,460 units in Q1 to 4,926 units in Q2, while VinFast saw its volumes increase from 1,630 to 3,992 units. Combined, these two companies captured 10.3 percent of the e-PV market in Q2, a significant jump from 4.8 percent in Q1. India Ratings and Research (Ind-Ra) anticipates e-PV penetration to climb to 6-8 percent of passenger vehicle sales in FY27, up from 4.4 percent in FY26, largely driven by new model introductions.
Shruti Saboo, Director of Corporates at Ind-Ra, noted that India's EV market continues to show strong growth potential, supported by favorable ownership costs, improving use-case economics, a wider array of vehicle options, and increasing consumer acceptance. Despite the heightened competition from new entrants, market leader Tata Motors has maintained its strong position, retaining approximately 38 percent market share as registrations grew steadily.
