Amid the fierce competition in the auto industry around the world with the advent electric cars, former NITI Aayog CEO has shared a piece of advice for Indian car companies.
Amitabh Kant has appealed to Indian carmakers to raise their ambition as by the end of the decade, the world will witness a big boom in electric cars.
According to the ex-Niti Aayog CEO, China is a leading player in the electric vehicle (EV) market globally, followed by the US. Chinese carmakers account for nearly half of global electric sales.
Sharing a few data on the global EV market, Kant on the X platform mentioned that China's BYD share is 18% of the global electric vehicle market, followed by Elon Musk-led Tesla.
However, Indian automakers account for merely 1% of the global electric car sales, he wrote.
"The race to capture electric car markets globally is presently on. Chinese carmakers account for nearly half of global electric sales. The market is led by BYD at 18% followed by Tesla at 12%. Indian carmakers account for just 1% of global electric car sales.," Kant wrote on the X platform.
Kant, who is also an author of books like Incredible India 2.0 and Made in India, added that the domestic EVs market is led by Tata Motors at 75%, SAIC- MG (13%) & Mahindra (5%).
In a strong projection, Kant said "The world is going EV and by 2030 the EV car sales are expected to be China -65%, Europe -60% and USA -50%".
Henceforth, the bureaucrat suggested Indian automakers raise their ambition in a bid to capture the global electric cars market.
Notably, the Centre has been pushing to increase domestic manufacturing of EVs and encourage a more rapid adoption of cleaner transport but it hasn't taken off, with their share of the total market remaining at 2.4%. As per a Bloomberg report, sales of passenger EVs in the country rose to 75,000 between Jan-September 2023.
However, buyers are hesitant to make the switch due to electric cars’ high upfront cost and a dearth of charging stations.
Last year, in the first nine months, Tata Motors' Tiago compact EV accounted for 39% of EV shipments. Automakers in the country have committed nearly $5.4 billion in investments to set up or expand their EV manufacturing facilities.
SoftBank-backed Indian e-scooter maker Ola Electric will become the first EV maker in the country to launch an IPO. The startup said it will raise $662 million through this IPO.
Ola Electric, founded in 2017 in India's tech hub of Bengaluru, launched its e-scooters two years ago. It plans to use some proceeds from the offering for the expansion of its cell manufacturing facility in Tamil Nadu.
Ola Electric dominates India's electric two-wheeler segment, with a 32% market share, and competes with TVS Motor, Bajaj Auto, and Ather Energy.
Ather, backed by Singapore's GIC, is also planning an India listing and has a market valuation of $739.4 million.
Catch all the Auto News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.