India EV Market Report: October 2026 Sales & Industry Trends
India EV market performance is the focus of this October 2026 report, covering developments reported through 27 October. September registrations hit an all-time high. India pulled ahead of the US on electric car share. And the government locked in the CAFE-III rules that will shape every carmaker's plans until 2032. Ather also posted its first quarterly profit. A โน500 crore electric truck complex opened near Pune, and a Haryana plant began exporting motors that need no rare-earth magnets.
This report examines vehicle registrations, competitive performance, policy and manufacturing developments. It separates reported figures from their implications for buyers, businesses and professionals working in the electric vehicle industry. Source links are included for readers to review the reporting behind these stories. Registration figures reflect dated snapshots and can change as records are updated.
India EV Market at a Glance: October 2026
| Section | Story | Key number | Date |
|---|---|---|---|
| 1 | Record EV registrations | 3,33,571 EVs in September | 3 Oct |
| 2 | Electric car sales record | 35,048 e-cars; 8.5% share | 3 Oct |
| 3 | India beats US on EV share | Six months in a row | 14 Oct |
| 4 | Electric two-wheeler reshuffle | TVS 53,989; Ola at 6.6% | 3 Oct |
| 5 | Ather turns profitable | โน1.26 crore net profit | 26 Oct |
| 6 | CAFE-III norms notified | Each EV counts as 3 cars | 29 Sep |
| 7 | PM E-DRIVE two-year report | 26.59 lakh EVs sold | 1 Oct |
| 8 | Electric truck complex in Pune | โน500 crore; 5,000 units | 14 Oct |
| 9 | Magnet-free motors from Haryana | โน50 crore plan | 13 Oct |
| 10 | New EV launches | Volvo EX90 at โน1.26 crore | 12โ22 Oct |
India EV Market: Sales, Policy and Manufacturing
India records its best-ever month for EV sales
India registered 3,33,571 electric vehicles in September 2026, according to EVreporter's analysis of Vahan data. That is about 10% more than August's 3,02,746 units and the highest monthly total on record. Over the 12 months to September, the country registered more than 32 lakh EVs.
Almost every segment grew. Electric two-wheelers rose to 2,07,314 units, passenger electric three-wheelers (L5) reached 44,738 and e-rickshaws added 29,509. The two exceptions were e-buses, which slipped to 832, and electric goods carriers, which fell to 3,329.
Why it matters: EV penetration in two-wheelers climbed to 11.6% in September from 10.7% in August. Roughly one in nine new two-wheelers in India is now electric. With Navratri and Diwali demand still to show up in the data, EV sales in India could set another record in October.
Electric car sales cross 35,000 as Mahindra hits 1 lakh
Electric car registrations crossed 35,000 units for the first time in September, nearly double the 17,932 recorded a year earlier. AutoPunditz's brand-wise Vahan data shows Tata Motors leading with 14,792 units and a 42.2% share. Mahindra followed with 7,782, JSW MG Motor with 5,242 and VinFast with 2,964. EVreporter puts electric car penetration at 8.5% of all passenger cars, up from 7.8% in August.
Mahindra also crossed a big milestone. On 1 October, it said cumulative billings of its Electric Origin SUVs had passed 1 lakh units in about 18 months, as AckoDrive reported. The range includes the BE 6, XEV 9e and XEV 9S. Billings are factory dispatches to dealers, not retail sales.
Why it matters: Tata and Mahindra together held about 64% of electric car sales in India in September. Home-grown brands are winning on volume, while VinFast, Kia and BYD are growing fast from a smaller base.
India beats the US on electric car share for six months running
Global energy think tank Ember launched a new EV sales tracker on 14 October covering 56 countries. Its headline finding: India's battery electric vehicle (BEV) share of new car sales has beaten the United States every month since April 2026, as Business Today reported. India is one of 15 countries that overtook the US this year.
The US share fell to about 6% in the first eight months of 2026 after federal EV incentives were rolled back. India's share rose on the back of new launches, wider choice and state incentives.
Why it matters: This is a share comparison, not a volume one. The US still sells far more electric cars, about 70,000 in April against India's 23,500. But for anyone tracking the Indian EV industry, it confirms the India EV market in 2026 is no longer a niche. Ember also links part of the jump to oil supply shocks, which pushed buyers in import-dependent countries like India towards EVs.
TVS stays on top, Bajaj closes in and Ola slides
The race in electric two-wheeler sales is tightening. In September, TVS Motor registered 53,989 units and Bajaj Auto 48,383, according to Vahan data compiled by Nuvama and reported by EVFY. Ather Energy followed with 30,477 and Hero MotoCorp's Vida with 24,305. Ola Electric came fifth with 13,449 units, and its share fell to 6.6% from 12.6% a year earlier.
The gap between TVS and Bajaj is now just over 5,600 units. In the first half of FY27 (AprilโSeptember 2026), electric two-wheeler registrations crossed 11 lakh, up 73% year on year.
Why it matters: Legacy brands with large dealer and service networks are gaining ground. For buyers, that means easier servicing and spare parts. For job seekers, it means legacy OEMs are hiring EV technicians and service engineers at scale.
Ather Energy posts its first quarterly profit
Ather Energy reported a consolidated net profit of โน1.26 crore for Q2 FY27 (JulyโSeptember 2026) on 26 October. That reverses a โน154 crore loss a year earlier. Revenue rose 63% to โน1,464 crore, and scooter volumes grew 42% to 93,211 units, according to Autocar Professional. EBITDA margin improved to 4.9%.
Ather also approved a โน122 crore capacity expansion. Its Hosur plant will grow to 4.95 lakh units a year by December 2026. The new AURIC plant in Chhatrapati Sambhajinagar starts production in phases from the same month. The planned expansions target total annual capacity of about 11.4 lakh units by Q2 FY28.
Why it matters: A pure-play EV maker turning profitable is a strong signal for investors and lenders. It shows electric two-wheelers can make money at scale, not just win market share.
CAFE-III norms notified: every EV counts as three cars
The Ministry of Power notified the CAFE-III fuel-efficiency norms on 29 September 2026. They apply to passenger vehicles from 1 April 2027 to 31 March 2032. Fleet COโ targets fall from 113 g/km to 78.9 g/km, as Swarajya reported.
The rules reward clean technology through super credits. Each battery electric vehicle counts as three vehicles in a carmaker's fleet average. Plug-in hybrids get 2.5x, strong hybrids 1.6x and flex-fuel vehicles 1.1x. For the first time, carmakers can also trade credits with one another.
Why it matters: CAFE-III makes EVs the cheapest route for carmakers to meet tighter targets. Expect more affordable electric car launches from 2027, along with more hiring in EV design, battery engineering and homologation.
PM E-DRIVE scheme: 26.59 lakh EVs sold in two years
A government factsheet released on 1 October showed that the PM E-DRIVE scheme has supported 26.59 lakh EV sales as of June 2026. The scheme's outlay now stands at โน11,900 crore, and it has been extended to 31 March 2028, according to PIB.
Electric two-wheelers priced up to โน1.5 lakh get โน2,500 per kWh, capped at โน5,000 per vehicle. The scheme has also set aside โน4,391 crore for 14,028 e-buses, most of them for seven large cities. For charging, โน851 crore has been approved for 8,147 chargers across three oil marketing companies and 10 states.
Why it matters: Two years in, the PM E-DRIVE scheme is shifting weight from buyer subsidies to infrastructure and local manufacturing. Charging networks, e-bus depots and testing labs will all need trained technicians and engineers.
โน500 crore electric truck complex opens near Pune
Energy in Motion (EIM) opened an electric heavy commercial vehicle complex at Talegaon, Pune, on 14 October 2026. The โน500 crore facility combines truck assembly, battery pack assembly and a battery testing lab, reports Autocar Professional. Initial capacity is 5,000 vehicles per shift per year.
It is the first phase of a โน1,000 crore plan in Maharashtra and is expected to create more than 2,000 direct and indirect jobs. EIM works with BAIC Foton, CATL and Enneagon, and plans megawatt-scale battery swapping and charging hubs along highways, ports and industrial corridors.
Why it matters: Trucks are the hardest part of road transport to clean up. Local e-truck production with an in-house battery line shows India's heavy-EV supply chain is finally taking shape.
Vimag Labs starts making magnet-free EV motors in Haryana
Bengaluru deep-tech firm Vimag Labs began production at its first plant in Jhajjar, Haryana, Autocar Professional reported on 13 October. It has already exported its first batch. The company plans to invest about โน50 crore in phases and scale to 10,000 motor and control systems a month.
Its VMSM motor platform replaces rare-earth permanent magnets with software-defined magnetic fields. Vimag recently raised $5 million in a Series A round led by Accel.
Why it matters: Most EV traction motors depend on rare-earth magnets, and supply has been squeezed by export restrictions. Indian-made, magnet-free motor technology could cut that risk for two-wheelers, cars and trucks alike.
New EV launches: Volvo EX90 and Ultraviolette X-47 Venom
October brought new launches at both ends of the market. Volvo launched the EX90 electric SUV on 12 October at an introductory โน1.26 crore (ex-showroom). It gets a 106 kWh battery, a claimed 625 km WLTP range and deliveries from January 2027, per Telangana Today.
On 22 October, Ultraviolette launched the X-47 Venom electric motorcycle on its new 100V VX-100 platform. It costs โน3 lakh, with an introductory price of โน2.65 lakh for the first 5,000 buyers. It claims 343 km of IDC range and supports 12 kW DC fast charging, according to EVreporter. Deliveries start in November.
Why it matters: Indian buyers now have serious EV options from โน1 lakh scooters to โน1 crore-plus luxury SUVs. More launches are expected before the year ends, so the choice will only widen.
What These Stories Mean for EV Jobs and Skills in India
Viewed together, these India EV market developments and one pattern stands out: India's EV industry is moving from early adoption to mass scale. That shift needs people. Carmakers chasing CAFE-III credits need battery, powertrain and BMS engineers. Plants like Ather's AURIC and EIM's Talegaon complex need production and quality staff. A market selling over 2 lakh electric two-wheelers a month needs trained service technicians in every district.
Three skill areas are in especially high demand:
- Battery and BMS engineering: pack design, thermal management and cell testing.
- High-voltage safety and EV servicing: diagnostics, repair and charger maintenance.
- Motors, controllers and embedded systems: the parts India now wants made locally.
At DIYguru, India's largest ASDC-certified EV skilling organisation, we have trained more than 95,000 learners in these areas. Explore our EV certification courses, browse openings on our EV jobs portal, or see how our EV service network is preparing technicians for the after-sales boom.
India EV Market: Frequently Asked Questions
How many EVs were sold in India in September 2026?
EV sales in India reached 3,33,571 registrations in September 2026, the highest monthly total on record, according to Vahan data analysed by EVreporter.
Which company sells the most electric cars in India?
Tata Motors leads, with about 42% of electric car registrations in September 2026. Mahindra and JSW MG Motor follow.
Is India ahead of the US in EV adoption?
On share, yes. Ember says India's BEV share of new car sales has been higher than the US every month since April 2026. The US still sells more EVs in absolute numbers.
What is CAFE-III and how does it affect EVs?
CAFE-III is India's fuel-efficiency standard for passenger vehicles from April 2027 to March 2032. Each battery EV counts as three vehicles in a carmaker's fleet average, so EVs become central to compliance.
Is the PM E-DRIVE subsidy still available?
The scheme runs until 31 March 2028 with an outlay of โน11,900 crore, but each sub-component closes once its funds or targets are used up. Check the official PM E-DRIVE portal before you buy.
What does this India EV market report cover?
This report covers vehicle registrations, manufacturer performance, policy, investments and product launches, alongside their implications for EV careers.
India EV Market Outlook: Opportunities and Constraints
The India EV market shows growth across several segments, although performance varies by vehicle category and manufacturer. Record sales, a profitable pure-play EV maker, tougher CAFE-III rules and new factories for trucks and motors all arrived within a few weeks. The next test is whether charging, local supply chains and skilled talent can keep pace.
Use this India EV market report as a dated reference and consult the linked sources for subsequent revisions. If you want to build a career in this fast-growing industry, talk to a DIYguru advisor about the right program for you.
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