Impact of chip deficit: EV sales in India decline after 10-month growth trajectory

The Indian electric vehicle market, which has accelerated in the last two years, especially in 2021, is now witnessing a shortage of semiconductors.

According to data compiled by JMK Research, in April 2022, EV registrations were mainly driven by electric two-wheelers and passenger-type electric three-wheelers, accounting for 92.92 percent of the total registrations per month. Shares in these categories are followed by e-cars (3.64%), cargo-type electric three-wheelers (3.17%) and more.

Of all the states and union territories, Uttar Pradesh topped the list with 16 per cent of overall sales, followed by Karnataka with 13 per cent. Maharashtra dropped to third place with 11 per cent share, followed by Gujarat (10%), Tamil Nadu (8%), Rajasthan (7%) and Delhi (5%).

As a result of low hanging electric two-wheelers, high-speed electric two-wheeler registrations came in at 49,141 units, indicating a slight decline of 0.91% on a MoM (month-on-month) basis but 866 percent jump over the same period last year. It is important to note that the foundation was quite low years ago.

In terms of player-wise rankings, Ola Electric has overtaken market leader Hero Electric, with Okinawa in second place. Hero Electric slipped to third place when Bajaj re-entered the top 10 rankings after its brief absence last year, pushing Benling to 11th.

Sales of electric three-wheelers (passenger and cargo) in April 2022 stood at 18,738 units and 2,316 units, respectively, down 9.59 percent and 26.38 percent, respectively.

For the electric passenger car segment, growing sales in April 2022 came in at 2,659 units, down 25.55 percent from the previous month, but on a lower-year basis, although registrations increased by 344.65 percent. Thanks to Tiago, Tigor and Nexon for profitable and popular models, Tata Motors has the highest registration (87 percent market share in the segment).

Growing sales of electric buses this month stood at 164 units, an increase of 116 percent over the previous month and 6 percent year-on-year. This month’s sales were driven by JBM Auto (30%), PMI Electro (29%), Tata Motors (23%) and Electra Greentech (18%).