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EV Adoption Gains Momentum in April, Auto Sales Hit Record High: FADA

Electric vehicle adoption in India strengthened in April, with EV share reaching 60.38% in three-wheelers and 7.76% in two-wheelers. Overall auto retail sales hit a record high of 26.11 lakh units, growing 12.94% year-on-year. FADA noted that the two-wheeler EV share moderated from March due to pre-buying before incentive closures. The outlook for May remains cautiously optimistic, with 55.60% of dealers expecting growth, though risks include heatwaves and West Asia fuel uncertainty.

Key Points: EV Adoption Surges in April Amid West Asia Uncertainty

  • EV penetration rises to 60.38% in three-wheelers
  • Auto retail hits record 26.11 lakh units in April
  • Two-wheeler EV share moderates to 7.76% from 9.79%
  • FADA says 55.60% dealers expect growth in May
2 min read

EV adoption gains momentum in April amid West Asia uncertainty, sector outlook cautious for May: FADA

Electric vehicle adoption rises in April with 60.38% in 3-wheelers. Auto sales hit record 26.11 lakh units. FADA outlook cautious for May.

"Despite this moderation, the April level remained higher than the FY26 average of 6.5 per cent, indicating continued strength in EV adoption. - FADA"

New Delhi, May 5

Electric vehicle adoption across India's automobile sector continued to strengthen in April, even as broader geopolitical tensions in West Asia cast a shadow over fuel price stability and future demand trends, according to the Federation of Automobile Dealers Associations.

The data showed that the transition towards EVs continued to deepen across categories. In the three-wheeler segment, EV penetration rose significantly, with EV share reaching 60.38 per cent. In passenger vehicles, EV share improved to 5.77 per cent, while in the two-wheeler segment, EV share stood at 7.76 per cent in April.

FADA noted that the EV share in two-wheelers moderated to 7.76 per cent in April from 9.79 per cent in March. The higher March figure was due to pre-buying activity ahead of the closure of certain EV incentives.

Despite this moderation, the April level remained higher than the FY26 average of 6.5 per cent, indicating continued strength in EV adoption.

Alongside the rising EV penetration, the overall auto retail market recorded its best-ever April performance, with total sales reaching 26,11,317 units, marking a 12.94 per cent year-on-year growth.

Across segments, two-wheelers recorded sales of 19,16,258 units, growing 13.01 per cent YoY, while passenger vehicles stood at 4,07,355 units, up 12.21 per cent YoY. The commercial vehicle segment reported sales of 99,339 units, rising 15.02 per cent YoY.

The three-wheeler segment saw sales of 1,06,908 units, growing 7.19 per cent, while tractor sales surged 23.22 per cent YoY to 75,109 units. However, the construction equipment segment remained under pressure, declining 2.25 per cent YoY with sales of 6,348 units.

Looking ahead, the outlook for May 2026 remains cautiously optimistic. According to FADA, around 55.60 per cent of dealers expect growth, an improvement from 50.56 per cent in April.

The expected demand in the near term is likely to be supported by factors such as the extended marriage season, residual demand from Akshaya Tritiya, the start of new financial year schemes, and continued replacement demand in the commercial vehicle segment.

However, the report also highlighted certain risks. These include the India Meteorological Department's forecast of an above-normal heatwave across several states, uncertainty in fuel prices due to developments in West Asia, and some supply constraints in specific models.

- ANI

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Reader Comments

P
Priya S
The numbers look promising 🚗⚡ But I'm a bit cautious about the West Asia situation. If petrol prices spike, it might push more people towards EVs, but at the same time, supply chains could get affected. Fingers crossed for May.
M
Michael C
Impressive growth across segments, especially tractors up 23%! The marriage season and Akshaya Tritiya always give a nice boost. But we need to address the heatwave impact on battery performance in EVs, especially in states like Rajasthan and UP.
K
Kavya N
I wonder how many of these EV sales are actually going to individual owners vs fleet operators. For personal use, charging infrastructure in apartment complexes is still a major hurdle. The government needs to mandate EV-ready parking in new buildings.
R
Rohit P
Good to see FADA's cautious optimism. The 55.6% dealers expecting growth is a healthy sign. But we should also worry about the heatwave - if it's as bad as predicted, people might postpone big purchases. Let's hope for some good rains to cool things down ☀️🌧️
S
Siddharth J
EV penetration in passenger vehicles at 5.77% is decent but still low compared to China or Europe. The key is making EVs affordable for middle-class families. The FAME subsidy helped, but we need more local battery production to cut costs. Tata and Mahindra are on the right track.

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