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India’s Electric Car Market Scales New High in July; Penetration Close to 5%
India’s electric passenger vehicle market scaled new heights in July with registrations almost doubling to 15,295 units on a year-on-year basis.
The 91% year-on-year and 10% month-on-month growth reflects growing consumer acceptance for EVs, model availability, and confidence in charging infrastructure.
Electric vehicle penetration in July touched 4.6%, up from 4.4% in June, with cumulative sales in the first four months of the financial year rising 79% to 55,816 units.
Tata Motors retained its lead with 5,972 units, commanding 39% of the market. The carmaker’s performance is on the back of robust demand for the Punch and Nexon EVs, as well as for the newly launched Harrier EV.
Harrier EV, Tata Motors’ first midsize electric SUV, has helped the company reassert its presence in the premium EV segment. Despite growing competition, the automaker’s EV volumes in FY26 so far stand at 20,232 units, though its market share has dropped to 36.2% from 64.7% a year ago.
JSW MG Motor India followed closely with 5,013 units and a 33% market share. While MG was the second-largest company by volume, its Windsor model continued its run as India’s best-selling electric vehicle, holding the top spot in 9 of the last 12 months.
MG’s recent success is attributed to the broad Windsor and Windsor Pro lineup, increased local content in the Comet EV, and the repositioning of the ZS EV in the premium space.
Together, these have allowed MG to expand its addressable base across urban buyers and fleet operators. The company’s year-to-date market share has risen sharply to 30.5% from 18.8% last year.
Mahindra & Mahindra, meanwhile, saw a registration of 2,789 units in July, representing a 435% increase year-on-year, but saw a 13% decline over June.
The brand has now begun deliveries of its next-generation born-electric models—the BE6 and XEV 9e—marking a strategic pivot from legacy ICE-based EVs.
While Mahindra’s FY26 share has improved to 21.6%, its ability to hold ground will depend on how quickly it scales these new platforms.
Hyundai Motor India registered 602 EV units in July, growing 11% month-on-month, with early success coming from the newly launched Creta EV.
As one of India’s most recognisable nameplates, the Creta’s electric version gives Hyundai the traction it lacked with its earlier offerings, the Kona and Ioniq 5. Its cumulative FY26 EV sales have grown nearly sevenfold, albeit from a low base.
Other brands saw mixed performance. Registration of BYD rose 27% on the year to 453 units, but slipped 10% from June. Citroën fell 74% on the year and 49% sequentially to just 41 units, with the e-C3 continuing to struggle for demand.
In the luxury segment, BMW’s registration almost tripled to 225 units from the previous year and remained flat from June. Mercedes-Benz’s registration more than doubled to 85 units while it declined 11% from June.
Audi India, on the other hand, recorded just one electric unit sold in July—a 95% drop year-on-year—despite being one of the first luxury brands to launch EVs in India.
Audi’s continued decline in the EV space raises questions about its product and pricing strategy in a segment that is now seeing tangible growth.
The July performance reflects India’s electric vehicle journey, gaining momentum. Tata Motors’ steady expansion, MG’s consistent model-level leadership with the Windsor, Hyundai’s re-entry into the volume EV space with Creta, and M&M’s new platform rollout indicate that the electric PV segment is evolving decisively.
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