Electric vehicles (EVs) are becoming a global transportation trend, and India, with its expanding EV market, is poised to become a significant player in the export of electric cars. This growth presents a massive opportunity for India’s automotive industry, which is already a powerhouse in traditional vehicle manufacturing. With the global electric vehicle market booming and companies like Tesla entering India, the country is well-positioned to become a major exporter of EVs.
In this blog, we’ll dive into the key factors shaping India’s future as an EV exporter, including market trends, export data, top products, and leading players.
The Growth of the Electric Vehicle Industry
The global electric vehicle market is enormous, valued at an estimated USD 500.48 billion in 2023. It’s expected to grow at a compound annual growth rate (CAGR) of 13.8%, reaching USD 1,891.08 billion by 2032. India, in particular, is experiencing a surge in its EV sector. With a staggering 66.52% CAGR, India's EV market is projected to grow from USD 3.21 billion in 2022 to USD 113.99 billion by 2029.
Export Opportunities for Electric Vehicles in India
India’s EV ecosystem is thriving, producing high-quality vehicles at competitive prices. With the increasing global demand for electric vehicles, Indian manufacturers have a golden opportunity to expand their reach. Insiders predict that the cost of electric vehicles in India will match that of gasoline-powered cars within a year. By 2025, India could emerge as one of the top global hubs for manufacturing and exporting EVs.
Electric vehicle exports in India are expected to surpass one million units annually in the next four to five years. By then, EVs could account for 25–30% of the country’s total vehicle exports.
Electric Vehicle Export Data: Month-on-Month Growth
India's EV export market has been growing steadily. Here’s a snapshot of month-on-month growth in electric vehicle exports for 2022 and 2023:
Month | Year - 2022 | Year - 2023 | Growth % |
January | 1,492.93 | 6,543 | 338.33 |
February | 1,343.15 | 3,635.61 | 170.68 |
March | 1,589.59 | 4,180.76 | 162.96 |
April | 1,424.49 | 3,599.26 | 152.67 |
May | 231.81 | 6,254.72 | 2,598.16 |
June | 1,697.10 | 777.71 | -54.17 |
July | 1,273.97 | 1,498.54 | 17.63 |
Despite a few fluctuations, the overall growth trend is highly encouraging. In 2022, India exported 38,700 electric vehicles, with an average export value of $5,000 per vehicle.
Export Destinations for Indian Electric Vehicles
India’s electric vehicles are gaining popularity in various global markets, particularly in Europe. France’s market share of Indian EVs skyrocketed from INR 168.47 lakhs in 2022 to INR 2,367.27 lakhs in 2023, while Germany saw a jump from INR 85.35 lakhs to INR 343.28 lakhs in the same period. Nepal, France, and Germany are some of the stable and growing markets for Indian EV exports.
Top Export Destinations for Indian EVs:
Nepal
France
Germany
United Kingdom
Vietnam
Brazil
Guatemala
Australia
Kenya
Leading Electric Vehicle Exporters in India
Several Indian companies are leading the charge in the EV export market. Tata Motors has already established itself as a front-runner, while Mahindra & Mahindra (M&M) is solidifying plans to produce more than 250,000 EVs by 2027, with 60–70% of these earmarked for export.
Other key players include Toyota Kirloskar Motor, Honda Cars India, Maruti Suzuki, and Hyundai Motor India. Honda is preparing to export between 30,000 and 50,000 units to Japan and other markets beginning in 2026–2027.
Top EV Exporters in India:
The top electric vehicle exporters in India are as:
Tata Motors
Mahindra Electric
MG Motor India
Hyundai
Hero Electric
Ather Energy
Okinawa Autotech
Revolt Motors
Ampere Electric
Jitendra New EV Tech
Procedures for Exporting Electric Vehicles from India
To successfully electric vehicles export from India, several key steps must be followed:
Research Target Markets: Identify potential markets by evaluating competition, infrastructure, government incentives, and consumer demand.
Acquire Required Licenses: Obtain an IEC (Importer-Exporter Code) and any additional licenses required by the destination country.
Build a Reliable Supply Chain: Ensure a steady supply of batteries and EV components, partner with trusted suppliers, and streamline logistics.
Overcome Export Challenges: Address high production costs, limited charging infrastructure, and range anxiety.
Simplify Export Processes: Collaborate with experienced freight forwarders, complete all necessary documentation, and stay informed on customs regulations.
Leverage Government Support: Take advantage of government subsidies and incentives to reduce export costs.
Develop Marketing Strategies: Create strong branding and marketing campaigns tailored to target markets, including partnerships with local distributors.
Top Electric Vehicle Exporting Countries
The top electric vehicles exporting countries market:
Germany
China
Belgium
South Korea
Japan
United States
Spain
Czech Republic
United Kingdom
France
Germany is the largest exporter of electric vehicles and electric vehicles export by country, followed closely by China and Belgium.
Conclusion
India has enormous potential to become a significant player in the global electric vehicle market. With its skilled workforce and growing manufacturing capabilities, India is well-positioned to produce world-class electric vehicles that can compete globally. By leveraging government support, simplifying export procedures, and executing effective marketing strategies, India’s EV industry stands to gain considerable ground in the global market.
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