ruskin felix consulting Logo

Ruskin Felix Consulting

Ruskin Felix Consulting

India’s Electric Vehicle Transition Gains Momentum

Table of Contents

The electric vehicle industry in India is witnessing strong growth momentum driven by supportive government policies, falling battery prices, and growing environmental consciousness. With global EV sales exceeding 10 million in 2022, it is clear that this sector is experiencing exponential expansion worldwide. As one of the largest automobile markets, India has tremendous potential to emerge as a leading EV producer and consumer.

Policy Push Drives Down EV Costs in India

State subsidies and tax incentives are helping drive down the cost of EVs in India. Several states offer upfront purchase incentives of up to 40% on electric cars and subsidies on loans to bridge the initial price difference between EVs and internal combustion engine vehicles. The central government recently slashed the GST rate on EVs to 5% from 12% and on chargers to 5% from 18% to boost affordability. These policy interventions are making EVs increasingly viable for Indian consumers.

While India has built core competencies in automobile manufacturing over the years, it is still largely dependent on other countries for critical EV components like battery cells, controllers, and motors. To achieve economies of scale and fuel self-reliance, India must develop an integrated ecosystem for battery and component manufacturing. Both public and private sectors will need to collaborate on R&D, skill development, and investments to build local production capacity and supply chains.

Growing Consumer Demand Requires Robust Charging Infrastructure

Some promising developments on this front include Reliance Industries’ plans to invest $80 billion in clean energy initiatives including battery manufacturing over the next 10-15 years. Hyundai has partnered with Ola Electric to build a cell-to-pack gigafactory in India. The government’s Production Linked Incentive (PLI) scheme offers companies incentives to set up battery and component plants locally. As India strives for energy security and independence, building out its EV supply chain capabilities will be crucial.

With environmental awareness rising among consumers, EVs are increasingly seen as a sustainable mobility solution for India. Their popularity is also being bolstered by advancements in battery technology that enhance driving range and performance. As costs fall further, EVs will reach price parity with gasoline vehicles within the next 5 years, making them the obvious choice for many buyers. If India can cultivate a robust charging network to support rising EV adoption rates, it will be well positioned to lead the global electric revolution.

Other Related Insights
Scroll to Top


Understand multiple industries at a glance, which encompasses change as its core attribute.


RFC helps clients generate long-term value for all stakeholders. We help clients transform, grow, and operate while fostering trust through assurance with our services and solutions, which are made possible by data and technology.


We balance ESG and risk mitigation in our professional services. Our consulting experts make sustainability a business priority with vision and pragmatism.


RFC’s key reports and insights about trending areas of business and enterprise. Understanding the aspects of business, growth, sustainability and efficiency in the rapidly developing world.

Featured Reports

Understand the macroeconomic situations that affect the global positioning of countries.

Creating a sustainable environment for driving multiple countries into a better tomorrow.

Businesses can better understand how chatbots can advocate their vision.

Understand how the U.S. discrepancy in accordance to their debt creates a havoc. 


Ready to get started? Lets get on a Call to discuss your Project