India’s electric vehicle (EV) sector is accelerating rapidly, positioning the nation to become a major global producer akin to China, according to esteemed global investor Mark Mobius.
India’s foray into the EV market began with two-wheelers, and recent developments indicate a robust trajectory towards comprehensive electric mobility. Under the ambitious PM E-DRIVE scheme, EV sales have soared, highlighting a significant uptick in consumer adoption. The Electric Mobility Promotion Scheme (EMPS) and PM E-DRIVE initiatives have collectively propelled electric two-wheeler sales to an impressive 571,411 units in the fiscal year 2024-25.
The surge extends beyond two-wheelers. Sales of electric three-wheelers, including e-rickshaws and e-carts, have reached 1,164 units, while the L5 category of electric three-wheelers has seen sales climb to 71,501 units during the same period.
Speaking to IANS, Mobius expressed confidence in India’s EV ambitions. “India started out with smaller EVs but it will eventually become a major producer of electric vehicles. Since the domestic market is so huge, India doesn’t have to export electric vehicles. They can easily produce huge numbers to supply the local market,” he remarked.
Drawing parallels with China’s journey, Mobius emphasized the role of a vast domestic market in driving production and innovation. “India will be in the same position and will be able to do a lot of very good things in the global EV market,” he added, suggesting that India’s expansive consumer base could support large-scale EV manufacturing without the immediate need for extensive exports.
The government’s commitment to this vision is evident in the recent approval of the PM E-DRIVE scheme by the Union Cabinet. With a financial outlay of ₹10,900 crore, the scheme, effective from October 1 until March 31, 2026, aims to expedite the transition to electric vehicles. Key objectives include providing upfront incentives for EV purchases and fostering the development of a comprehensive charging infrastructure across the country.
Beyond the immediate advancements in electric mobility, Mobius highlighted the broader economic potential of India’s creative landscape. “The creative impulse in India is going to make the country a $5 trillion economy in years to come,” he stated. He attributed this optimism to India’s rich cultural diversity, which he believes fuels innovation and the emergence of new industries, ideas, and inventions.
As India continues to invest in and promote electric vehicles, the synergy between government initiatives and market dynamics appears poised to transform the nation into a formidable player in the global EV arena. With substantial domestic demand and a strategic focus on infrastructure and incentives, India’s EV journey mirrors China’s path to dominance, setting the stage for significant contributions to the global electric mobility revolution.
