The Indian electric three-wheelers market crossed US$ 300 million in 2021 and is expected to grow at a CAGR of around 8.3% during the forecast period of 2022-2028. Technological advancements in Li-ion batteries will drive the market for Indian electric th

The report titled "Indian electric three-wheelers Market Analysis and Forecast, 2019-2028" assesses the global market based on fleet type, charging type, battery type, sales channel, demography, and region. A comprehensive report provides a detailed historical and future market size with a comprehensive market trend analysis.

The market share analysis, production capacities of the top manufacturers, an overview of the competition, charging infrastructure in India, government policies & subsidies, strategic imperatives, the replacement rate of EVs, electric three-wheelers aftermarket, key end users, credit availability, potential growth areas, and competition analysis for the target players evaluated in the Indian electric three-wheelers market study.

Market Overview and Dynamics: Electrification of the Indian Automobile Industry is majorly driven by Indian Electric Three-Wheeler Market

According to a report by NITI Aayog, the Electric Three-wheeler segment contributes to 79% of the overall EV presence in India and is driving the electrification of the Indian automobile industry. This growth is the result of the use of electric three-wheelers not only as a mode of transportation but also serving as the lifeline for several people formally informally employed by their use.

With great improvements taking place all over the world in the technology of lithium-ion batteries, the batteries will become lighter, the driving range with a single charge will be higher and the life of batteries will also become longer, which are expected to play a major role in the overall growth of the electric three-wheelers market in the forthcoming years.
• Moreover, the cost of maintaining an electric three-wheeler is reduced by 80% compared to an ICE vehicle, says a RationalStat analysis, which further is the reason for the rapid adoption of electric three-wheelers in markets such as India, where people dependent on electric three-wheelers for earning bread look for affordable and comparatively economical options.
o Also, the availability of various financing options provided by electric three-wheeler dealers and sellers is expected to ease the transition towards electric three-wheeler vehicles.
• Furthermore, electric three-wheelers are quieter, cleaner, and more economical to maintain than a traditional three-wheeler. Altogether, these factors majorly contribute to the growth of the Indian electric three-wheeler market.
• Although, the availability of capital is not the primary constraint for India's transition to electric three-wheeler adoption, however, the constraint factor of the market are the reliability of components, charging infrastructure, and after-sales network, which is expected to hinge on the growth of the market.

Advantages of Electric Three-wheelers for India Roads

Even though electric vehicles (EVs) are costlier to purchase, their running cost is much lower. So, the more an EV is used, the more economical it gets. When gauged by the total cost of ownership (TCO), they are already ideal for ride-hailing and last-mile delivery fleets, which have high daily utilization. These segments are leading the adoption of electric three-wheelers in India and are likely to be among the first segments to transition completely electric.
In addition, for a rapid transition of fleets, capital flow to the ecosystem needs to grow multi-fold. Opening large capital pools will require de-risking of the market through deeper collaboration between stakeholders and business model innovation. Due to these factors, RationalStat expects an escalation in the demand for electric three-wheelers in the Indian markets.
Government Involvement and Conducive Policies

Some of the government policies fueling the demand for electric three-wheelers in the country are National Electric Mobility Mission Plan (NEMMP 2020), National Urban Transport Policy (NUTP), FAME I & FAME II, Draft Delhi EV policy 2018, Karnataka Electric Vehicle and Energy Storage Policy 2017, Maharashtra Electric Vehicle Policy 2018, and Telangana Draft Electric Vehicle Policy 2017, among others.
Moreover, the Indian government launched, the "Faster Adoption and
Manufacturing of Electric and Hybrid Vehicles" (FAME) in India in two phases (Phase I and Phase II), where manufacturers and infrastructure providers of EVs receive the incentive in the form of subsidies. This undoubtedly played a major role in the growth of the market.

India Three-wheelers Market: Segment Analysis

• Based on fleet type, the Passenger fleet constitutes a major market share as in India E-rickshaws are witnessing increasing adoption as it caters to environmental concerns.
• Based on battery type, Lithium-ion battery demand tends to be higher than lead-acid batteries, as the latter is considered to create chemical waste which takes years to decompose and is considered less environmentally friendly than the former.
• Based on Region, North India holds the majority share of the Indian Electric Three-wheeler market. Uttar Pradesh records the highest monthly sales of the overall sales in India carrying a weightage of 20%.

Competition Analysis: Regional Players Dominate the Domestic Markets

Due to the presence of many well-established companies in the Indian electric three-wheelers sector, there is intense competition. International and leading electric three-wheeler companies are striving to establish operations in India by partnering with local companies or by setting up their own manufacturing/development unit, potentially combined with imports of specific components.
Product launches and partnerships are the identified industry trend in the Indian electric three-wheelers market. Significant consolidation is expected in the global market during the assessed period 2022-2028.
• In September 2022, Omega Seiki Mobility (OSM) launched a new electric-three-wheeler 'ViCKTOR' in India. The company claims that its latest offering ViCKTOR comes with the world's longest range and offers 250 km drive on a single charge.
• In October 2022, Mahindra Electric Mobility launched the new Treo Zor Electric 3-wheeler cargo vehicle. The vehicle was available at a starting price of US$ 3,400 and was driven by an 8kW motor, having a payload capacity of 550 kg.
Some of the leading players involved in the production and marketing of the electric three-wheelers market include YC Electric, Mahindra Electric Mobility, Saera, Champion, Dilli, Bestway, Unique International, Kinetic Green, Lohia Auto, Piaggio Vehicles Pvt. Ltd., Gayam Motors Works, Atul Auto, and others.

RationalStat has segmented the Indian electric three-wheelers market on the basis of fleet type, charging type, battery type, sales channel, demography, and region.
• By Fleet Type
o Passenger Fleet
 Paratransit Fleet
 Feeder Transport Fleet
o Cargo Fleet
 Courier Fleet
 Grocery Delivery Fleet
• By Charging Type
o Plug-in Charging
 Fixed EVSE
 Portable EVSE
o Battery Swapping
 Individual Battery Charging
 Stack Battery Charging
• By Battery Type
o Lead Acid Battery
o Lithium-ion Battery
• By Sales Channel
o Company Owned Dealers
o Frenchie's Store
o Others (Third Party Dealers, etc.)
• By Demography
o Rural
o Urban
 TIER I
 TIER II
 TIER III
• By Region
o North India
 Delhi
 Uttar Pradesh
 Chandigarh
 Rest of North India
o West and Central India
 Gujarat
 Rajasthan
 Madhya Pradesh
 Rest of West and Central India
o East India
 Sikkim
 Bihar
 West Bengal
 Jharkhand
 Arunachal Pradesh
 Rest of East India
o South India
 Andhra Pradesh
 Tamil Nadu
 Maharashtra
 Chhattisgarh
 Odisha
 Rest of South India

For more information about this report https://store.rationalstat.com/store/electric-three-wheelers-market/

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