EV Boom Ahead: Electric Two-Wheelers to Dominate 30% of India’s Market by 2030 – 7 Million Annual Sales Expected!

India’s two-wheeler market is on the cusp of a massive transformation, with electric vehicles (EVs) projected to capture 30% of sales by 2030, according to a new report by global consulting firm Kearney. The study forecasts that India could see over 7 million electric two-wheeler sales every year by the end of this decade, led largely by scooters, which are expected to make up nearly 80% of the EV mix.

EV Growth Already Accelerating

The shift is well underway—EV sales have grown 3.5x in just three years, now accounting for about 7% of India’s total two-wheeler market. With demand surging, industry experts say the next five years will be decisive in shaping India’s electric mobility landscape.

Tier-2 Cities Take the Lead

Interestingly, it’s not just metros driving this revolution. Tier-2 and Tier-3 cities are adopting EVs two to three times faster than urban centers. Improved charging infrastructure, better battery performance, and affordability are fueling this rapid growth outside the metros.

India’s Two-Wheeler Powerhouse

As the world’s largest two-wheeler manufacturing hub—producing 35% of global volumes—India’s domestic demand has bounced back strongly post-pandemic, hitting 19.6 million units in FY2025. With this momentum, the EV share is poised to climb steadily toward the 2030 milestone.

Gig Economy Driving Demand

The rise of delivery, grocery, and logistics services is adding further fuel to EV adoption. The report estimates that 7–8 million new vehicles will be added by the gig economy in the next five years, many of them electric, thanks to lower running costs and corporate sustainability goals.

Market Segmentation & Consumer Shifts

• Scooters: penetration expected to hit 40% by FY2030

• Premium motorcycles: gaining traction with younger buyers

• 150cc segment: grown from 8% to 12% in five years

• 250cc–450cc segment: expanded from 6% to 9%

Meanwhile, India’s household two-wheeler penetration is forecast to rise from 75% in 2020 to 89% by 2030, showing that the two-wheeler boom is far from over.

OEM Strategies for the Next Decade

The Kearney report outlines four key strategies for OEMs to capture growth in this shifting landscape:

1. Diversify product portfolios

2. Accelerate EV product launches

3. Build strong software and connectivity ecosystems

4. Invest in partnerships across the EV value chain