Electric three wheelers' sales pick up speed but a mixed bag overall

NITI Aayog FY26 goal: question marks on E2Ws, e-buses and passenger cars

India’s electric vehicle (EV) journey has so far been a mixed bag. Electric two-wheelers (E2Ws) are faltering and the penetration of electric buses is slowing down, while the jury is still out on whether the target for passenger cars can be met. But three-wheelers (excluding e-rickshaws) are likely to meet NITI Aayog’s target for FY26 both in terms of penetration and volume.

For the industry, the key factor in future growth is the new subsidy regime that is expected to replace the second phase of Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME-II), which ends in