Electric vehicles more than doubled their share of India’s commercial-vehicle market to a record 5.18 per cent in August from 2.06 per cent a year earlier, as fleet electrification began spreading beyond last-mile vehicles and buses into heavier freight applications.
Overall commercial-vehicle retail stood at 90,769 units, up 14.45 per cent year-on-year but down 8.93 per cent from July, according to data released by the Federation of Automobile Dealers Associations (FADA). The year-on-year increase made it the best-ever August for commercial-vehicle retail.
Electric penetration climbed from 3.57 per cent in July to 5.18 per cent in August, while diesel’s share slipped to 78.77 per cent from 80.40 per cent.
“Electric CV share rose to an all-time high of 5.18 per cent from 2.06 per cent a year ago, with e-CV volumes setting a fresh monthly record, a clear signal that fleet electrification is moving from pilots to purchase orders,” FADA President Sai Giridhar said.
ELECTRIC VOLUMES ACCELERATE
CRISIL Intelligence estimates electric CV retail at 4,600-4,800 units in August, representing growth of 180-190 per cent year-on-year and 21-25 per cent month-on-month. That compares with the broader CV market’s 14.45 per cent year-on-year growth and 8.93 per cent sequential decline.
“The segment continues to significantly outperform the broader market, gaining share despite a sequential moderation in overall industry volumes, driven by improving operating economics, increasing fleet-level adoption, and a growing range of electric vehicle offerings,” said Hemal Thakkar, Senior Practice Leader and Senior Director at CRISIL Intelligence.
HEAVY TRUCKS JOIN THE SHIFT
The more significant change is emerging within the electric-CV mix.
EV penetration in heavy goods vehicles rose from below 1 per cent in July to about 3.6 per cent in August, which Thakkar described as the emergence of meaningful electric volumes in the category and an early widening of adoption beyond last-mile applications.
Heavy passenger vehicles, largely buses, remain much further ahead, with EV penetration nearing 29 per cent, supported by government-backed electric-bus programmes. Meanwhile, light goods vehicles accounted for about 62 per cent of electric-CV volumes in August, down from nearly 80 per cent in July, as heavy goods and heavy passenger vehicles gained share.
EARLY, NOT YET BROAD-BASED
The heavy-truck jump still comes with a caveat. Thakkar said the increase was concentrated in a limited number of fleet-level orders and may not yet represent a sustained trend, while electrification in medium-duty categories remains nascent.
For now, August marks a broadening of India’s electric commercial-vehicle market: last-mile goods carriers remain the volume base, buses the most electrified heavy segment, and heavy trucks the newest category beginning to register meaningful adoption.