Tata Motors, a leading player in India’s electric vehicle (EV) market, forecasts industry volumes to more than double in the second half of the fiscal year, fuelled by upcoming launches and a growing understanding of EV technology. The firm’s optimism comes despite a 3% dip in volumes in the first half. 

What Happened: Vivek Srivatsa, chief commercial officer at Tata Passenger Electric Mobility told the Financial Express he is confident that the Indian EV market can reach 1.3 lakh-1.5 lakh in sales by the end of FY25, given the alignment of key factors.

Srivatsa stressed the importance of strong collaboration between car manufacturers, the government and charging infrastructure providers to achieve this goal. He also underscored the role of increasing awareness of environmental sustainability and a broader range of EV options in driving the market forward.

See Also: India’s Top 10 Asset Management Companies

The second half of FY25 will witness the launch of four new EVs from three manufacturers, including Maruti Suzuki‘s entry into the segment with the eVX and Hyundai‘s electric version of the Creta. Mahindra & Mahindra will also introduce two electric sports utility vehicles (SUVs) later this month.

However, the EV sector has encountered obstacles, with a 3% drop in sales in the first half of FY25 compared to FY24, as per the Federation of Automobile Dealers Association (FADA). Factors such as inadequate charging infrastructure, high acquisition cost, range anxiety and unfavourable government policies have affected demand.

To address some of these issues, particularly range anxiety, Tata Motors has introduced the 55-kilowatt hours battery pack of the Curvv.ev. The company has also begun displaying near real-world driving range or C75 range on its EVs to provide more accurate information to consumers.

On the other hand, companies like JSW MG Motor, which recently introduced the Windsor electric car without requiring consumers to own the vehicle’s batteries, are leveraging a new approach to market EVs and make them more accessible to the mass market. Batteries usually account for 40%-45% of the total cost of an electric vehicle.

Read Next: IIndia Now Ranked 3rd-Most Powerful Nation In Asia Power Index