India Electric Two-Wheeler Market: Overview
The emissions from conventional gasoline based vehicles cause environmental degradation and remained unaddressed. The government has started various measures for regulating carbon emissions, which supporting the sales of electric scooters and motorcycles in the country. India Electric Two-Wheeler market is expected to grow with a CAGR over 40% during the forecast period 2018-2025, owing to strict emission norms and regulations, government incentives, and increasing environmental awareness. Moreover, the government also prolongs its support for these vehicles in the form of subsidies and encouraging the adoption of these vehicles, as ‘good replacement’ of old conventional ones.
India Electric Two-Wheeler market is growing significantly on account of government support and several subsidies under its “FAME India” schemes, which support faster adoption of electric two-wheelers in the country. Market anticipation about the more favorable environment for the development of electric two-wheelers industry under “FAME-II” is also expected to aid the electric two-wheeler market in India in the coming years. The increasing number of electric two-wheeler manufacturers in India and their escalating focus on research & development to manufacturing technologically advanced and affordable electric two-wheelers is further expected to drive the Indian electric two-wheeler market over the forecast period.
India Electric Two-Wheeler Market: Vehicle Type Analysis
Electric Motorcycle segment in the two-wheeler
market is growing rapidly with a significant CAGR during the forecast period
owing to its higher engine capacity and speed, and higher engine capacity.
Electric Scooter segment is growing with a
significant CAGR during the forecast period owing to its environment-friendly
and low maintenance features and thus, surging the growth of electric scooters.
India Electric Two-Wheeler Market: Battery Type Analysis
Lithium-ion battery is expected to be the
fastest growing segment in India during the forecast period owing to its
declining prices, and lower environmental risk and longer life span as compared
to the other batteries.
Lead Acid Battery segment dominates the market
during the forecast period. Lead acid batteries are the most common and
economical type of batteries used in electric vehicles.
India Electric Two-Wheeler Market: Technology Type Analysis
Plug-In Electric Vehicles is growing rapidly
with a healthy CAGR during the forecast period. It is a potentially important
technology for reducing fossil fuel consumption and CO2 emissions. A PHEV uses
stored electrical energy to propel the vehicle which reduces fuel consumption
by the combustion engine. This provides an opportunity to drive primarily in
electric mode and reduce emissions in congested cities around the world.
Battery Electric Vehicles (BEV) is growing with
a significant CAGR. Factors such as growing demand for zero emission vehicles,
government initiatives, and improved charging infrastructure are responsible
for the growth of BEVs and thus, leading to the growth of battery market for
BEVs. Battery electric vehicle is increasing their market share because they
are the most viable way towards a clean and efficient transport system.
India Electric Two-Wheeler Market: Competitive Dynamics
The India Electric Two-Wheeler market is dominated by a number of players, amongst them the major players are Hero Electric Vehicles Pvt. Ltd., Lohia Auto Industries, Electrotherm (India) Ltd., Avon Cycles Ltd., Okinawa Autotech Pvt. Ltd., NDS Eco Motors Private Limited, etc. Companies in this industry are following different strategies to strengthen their market position.