India to Be 4th Largest EV Producer by 2030 | Global Report & Insights
India's EV Ambition Goes Global: Set to Overtake EU by 2030
India is poised to become the world’s fourth-largest electric vehicle (EV) producer by 2030, surpassing the European Union, according to a new report by global research and consultancy firm Rhodium Group. The report ranks India behind only China, the US, and Japan, cementing its emergence as a critical EV manufacturing hub in the coming decade.
Key Findings from the Report
- India to rank 4th globally in EV production by 2030
- Will overtake EU’s EV manufacturing capacity, which is expected to shrink due to industry stagnation
- China will remain the dominant player with 6x more capacity than the US
- India's EV output will benefit from strong policy support, foreign investments, and local OEM expansions
Why India is Rising in EV Manufacturing
- PLI Scheme & FAME Incentives
- The Production Linked Incentive (PLI) scheme and FAME II subsidies are major drivers for manufacturing investments.
- Foreign Direct Investment (FDI)
- Global OEMs like Tesla, VinFast, BYD, Hyundai, and Foxconn are either entering or expanding in India.
- State-led Policies
- Tamil Nadu, Maharashtra, Telangana, and Gujarat have aggressive EV policies attracting gigafactories and auto clusters.
- Homegrown Strength
- Domestic giants like Tata Motors, Ola Electric, Mahindra, and Ather Energy are scaling up aggressively.
What This Means for India's Auto Industry
This projection marks a massive shift in global EV supply chains, with India gaining from:
- Lower manufacturing costs compared to EU & USA
- Growing domestic EV demand, especially in 2W and 4W segments
- Export potential to Southeast Asia, Middle East, and Europe
However, challenges remain. India still lags in battery cell manufacturing, charging infrastructure, and high-end R&D investments. The ecosystem must evolve quickly to support the volume and complexity of EV exports.
India’s EV Output vs Global Giants (Projected by 2030)
Rank |
Country |
EV Output Share |
1 |
China |
~60% |
2 |
United States |
~15% |
3 |
Japan |
~8% |
4 |
India |
~5% |
5 |
EU |
~4% (declining) |
Source: Rhodium Group Global EV Forecast 2030
Impact on Indian EV Brands
This manufacturing boom could skyrocket India’s top EV makers:
- Tata Motors – Expanding its EV portfolio and export capacity
- Ola Electric – Building the world’s largest two-wheeler EV plant
- Mahindra EV – Investing in INGLO platform for global-ready EVs
- Ather, TVS, Bajaj, Hero – Scaling fast to serve both local and overseas markets
Conclusion: India’s EV Decade Has Begun
With aggressive policy, investor confidence, and market readiness, India is entering a golden decade of EV manufacturing leadership. If executed well, this shift could make India a global EV export powerhouse while boosting domestic innovation and green mobility adoption.