India’s electric car penetration rising, hits 7% in May
Overall EV penetration across segments crossed 11% for the first time.
- Jun 8, 2026,
- Updated Jun 8, 2026 6:26 PM IST
The penetration of electric vehicles in India’s passenger vehicle sales rose as much as 7% in May for the first time as car buyers chose EVs amid higher fuel prices.
Electric vehicles accounted for 6.6% of India’s new car sales in May, up from 6.1% in April, according to data released by the Federation of Automobile Dealers Associations (FADA). EV penetration in cars stood at 4.5% in May 2025.
The fuel-price revision accelerated the shift to electric vehicles. In two-wheelers, the share of EVs climbed to record 9.25% in May from 6.11% a year ago.
“A notable feature of the month was the consumer response to the May fuel-price revision: dealers reported a visible rise in enquiries for fuel-efficient and alternative-powertrain options,” said FADA President C S Vigneshwar.
In three-wheelers, EV penetration hit a high of 64.4% in May, up from 59.17% in April. In commercial vehicles, electric vehicle penetration stood at 2.8%.
Overall, the EV penetration across segments crossed 11% for the first time.
In May, India’s passenger vehicle registrations rose 23.25% year-on-year to 4,02,591 units. Rural PV volumes grew 30.35% YoY against the urban PV volumes at 18.80%. “Dealers pointed to a small-car revival co-existing with a sustained SUV mix, healthy booking pipelines and refreshed product launches, alongside a richer alternative-powertrain mix in which CNG share rose to 23.34% and EV share improved to 6.63%,” Vigneshwar said.
On the channel side, PV inventory edged up to a range of 31–33 days at May-end from 28–30 days at the close of April. “Inventory is now moving away from FADA’s recommended 21-day benchmark, and we urge PV OEMs to maintain disciplined dispatches through the seasonally softer June window so that channel stocks stay closely aligned with retail demand,” Vigneshwar added.
The penetration of electric vehicles in India’s passenger vehicle sales rose as much as 7% in May for the first time as car buyers chose EVs amid higher fuel prices.
Electric vehicles accounted for 6.6% of India’s new car sales in May, up from 6.1% in April, according to data released by the Federation of Automobile Dealers Associations (FADA). EV penetration in cars stood at 4.5% in May 2025.
The fuel-price revision accelerated the shift to electric vehicles. In two-wheelers, the share of EVs climbed to record 9.25% in May from 6.11% a year ago.
“A notable feature of the month was the consumer response to the May fuel-price revision: dealers reported a visible rise in enquiries for fuel-efficient and alternative-powertrain options,” said FADA President C S Vigneshwar.
In three-wheelers, EV penetration hit a high of 64.4% in May, up from 59.17% in April. In commercial vehicles, electric vehicle penetration stood at 2.8%.
Overall, the EV penetration across segments crossed 11% for the first time.
In May, India’s passenger vehicle registrations rose 23.25% year-on-year to 4,02,591 units. Rural PV volumes grew 30.35% YoY against the urban PV volumes at 18.80%. “Dealers pointed to a small-car revival co-existing with a sustained SUV mix, healthy booking pipelines and refreshed product launches, alongside a richer alternative-powertrain mix in which CNG share rose to 23.34% and EV share improved to 6.63%,” Vigneshwar said.
On the channel side, PV inventory edged up to a range of 31–33 days at May-end from 28–30 days at the close of April. “Inventory is now moving away from FADA’s recommended 21-day benchmark, and we urge PV OEMs to maintain disciplined dispatches through the seasonally softer June window so that channel stocks stay closely aligned with retail demand,” Vigneshwar added.