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E2W Sales Surge Amidst Subsidy Expiry Fears
27 Mar
Summary
- March electric two-wheeler sales expected to surpass last year's figure.
- OEMs push sales due to year-end targets and potential price increases.
- EV subsidies under the PM E-DRIVE Scheme are set to expire soon.
Electric two-wheeler (E2W) sales are experiencing a significant surge in March 2026, propelled by manufacturers' year-end sales initiatives and customers buying ahead of anticipated price increases. The industry has already recorded its second-highest monthly sales volume this financial year, with projections indicating that March's total will surpass last year's figure.
This uptick is also influenced by the impending expiry of the PM E-DRIVE Scheme, which provides subsidies from ₹3,000 to ₹5,000 per vehicle and is scheduled to conclude by March 2026. This factor is encouraging pre-buying among consumers.
Manufacturers are facing increased pressure from rising commodity prices, particularly for precious metals like silver and platinum, impacting their profit margins. This has led to selective price adjustments and a focus on cost optimization strategies to offset these pressures.
In the market landscape, TVS Motor continues to lead, followed by Bajaj Auto and Ather Energy. Ola Electric has seen a decrease in its market position, now ranking fifth.
