India EV Retail Sales Surge in FY26: Two-Wheelers, Passenger Vehicles Drive Strong Growth, Says FADA

New Delhi, April 7, 2026: India’s electric vehicle (EV) market witnessed robust growth across segments in FY2025–26, with electric passenger vehicles (PVs), commercial vehicles (CVs), and two-wheelers (2Ws) posting strong year-on-year gains, according to the latest retail data released by the Federation of Automobile Dealers Associations (FADA).

The data highlights a broad-based acceleration in EV adoption, driven by improving product offerings, expanding charging infrastructure, and growing consumer acceptance.

Electric Two-Wheelers Gain Momentum

Electric two-wheelers continued to dominate India’s EV volumes, with total retail sales reaching 14,01,818 units in FY26, marking a 21.81% YoY growth compared to 11,50,790 units in FY25. The segment’s EV market share also rose to 6.5%, up from 6.1% last year.

Among OEMs, TVS Motor Company led the market with 3.41 lakh units, followed by Bajaj Auto at 2.89 lakh units. Ather Energy posted a strong 82.34% growth, while Hero MotoCorp saw a sharp 196.13% increase, reflecting its aggressive push in the EV space.

However, Ola Electric witnessed a significant decline of over 52%, indicating increased competition and market realignment.

Electric Three-Wheelers Maintain Leadership

The electric three-wheeler segment remained the most electrified category in India, with EV penetration rising to 60.9% in FY26, compared to 57.2% in FY25.

Retail sales stood at 8,30,819 units, up 18.87% YoY. Mahindra Group retained its leadership position with over 1 lakh units sold, followed by Bajaj Auto.

Notably, TVS Motor Company recorded exponential growth of over 1500%, albeit on a lower base, while players like Zeniak Innovation and Hooghly Motors also posted strong gains. On the downside, YC Electric Vehicle and Piaggio Vehicles reported declines.

Electric Commercial Vehicles See Rapid Expansion

India’s electric commercial vehicle segment emerged as the fastest-growing category in percentage terms. Retail sales more than doubled to 19,454 units in FY26, registering a 120.57% YoY growth, while EV penetration increased to 1.83% from 0.93%.

Tata Motors led the segment with over 6,000 units, followed by Mahindra Group and its last-mile mobility arm. New-age players such as Switch Mobility, Euler Motors, and Tivolt Electric Vehicles recorded exponential growth, signaling rising adoption in logistics and fleet applications.

Electric Passenger Vehicles Witness Breakout Year

Electric passenger vehicles saw the most significant leap in adoption, with total retail sales reaching 1,99,923 units in FY26, up 83.63% YoY from 1,08,873 units.

EV penetration in the PV segment climbed to 4.2%, compared to 2.6% in FY25.

Tata Motors Passenger Vehicles continued to dominate with 78,811 units, while JSW MG Motor India and Mahindra & Mahindra recorded strong growth of 73.67% and over 400%, respectively.

Global and premium brands such as BMW India, BYD India, and Kia India also expanded their EV footprint, while new entrants like VinFast and Tesla India made initial inroads into the market.

Industry Outlook

FADA’s FY26 data underscores a clear shift toward electrification across segments, with especially strong momentum in passenger and commercial vehicles. While two- and three-wheelers continue to anchor volumes, the rapid growth in higher-value segments signals a maturing EV ecosystem in India.