Monday, April 5, 2021

Several Government Initiatives Coupled with Innovative Technology to Make Public Commute Cheaper has Stimulated Growth in India Electric 3W Market: Ken Research

E- 3 Wheeler Industry Dynamics: The government support and subsidies, entrance of new entrants in the market and need for the alternative transport system to curb vehicular emissions are the key factor fueling the demand for the electric-three wheelers market in India. The government of India has committed to lower the vehicular emission by 2020 which leads to immediate measures to replace the conventional modes of transport with electric vehicles. As per the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles II (FAME-II) scheme, the government will invest ₹ 5,500 crores in the next five years. Phase-II of FAME India Scheme is being implemented with a total budgetary support of ₹ 10,000 crores. As per the scheme the government will provide incentives of ₹3,300 to ₹ 61,000 for electric three-wheelers. Apart from the measures at the national level, several state governments (Delhi, West Bengal, Kerala, etc.) have also implemented schemes to promote electric three-wheelers in their states. However, unregulated on-road e-rickshaws are hampering the growth of the market to some extent.

Alternate Eco-Friendly Mobility Option: India ranked 168th out of 180 countries inThe Environmental Performance Index (EPI), 2020” which says country faces serious environmental health risks, including poor air quality. India’s CO2 emissions rate is increasing every year owing to the emission of toxic gases by fuel-based vehicles. Therefore, the Government of India is now focusing more on EVs such as three-wheeler vehicles and introducing policies such as FAME 1 and FAME 2. These initiatives would help improve air quality besides favoring the market during the forecast period. Electric auto-rickshaws (e-autos) emit zero tailpipe emission and make no noise while meeting people's transportation needs. Furthermore, the fact that an electric three-wheeler has lower maintenance and running costs then an internal combustion engine vehicle is likely to propel the growth of the industry in the coming years.

Challenges in Adoption of E-3 Wheelers: One of the biggest restraints for the success of deploying the electric vehicle three-wheeler market in India is the lack of adequate charging infrastructure. India’s EV charging infrastructure is still at a nascent stage at present and has yet to catch up to meet the country's needs. This particular factor is severely hampering the acceptance of EVs in India. Proposing land is a major challenge in any metro city as charging stations need reserved space not just for the setup, but also for parking spaces so that multiple vehicles can park and use the charging station. Moreover, electric three-wheelers are significantly more expensive than fossil fuel powered three-wheelers, owing to the high cost of batteries. This, in turn, is anticipated to hinder the electric three-wheeler market in the near future.

Analysts at Ken Research in their latest publication India Electric 3W Market Outlook to 2025- By Wheeler Type (Passenger, Goods, Personal), By Vehicle Category (Transport and Non-Transport), Registration by Region (North, East, West, South) and Registration by Stateobserved that the electric 3 wheeler market in India has a great potential to grow supported by numerous government initiatives.  The electric three-wheelers would offer the lowest cost of transportation, with e-commerce delivery coming in and a higher need for last-mile connectivity solution As per EV market forecast by Frost and Sullivan, e-rickshaws, e-autos and e-two wheelers are the most promising segments for electrification in India and are expected to account for over four-million units by 2025. At the early phase of transition, when the support infrastructure hasn’t matured enough, financial incentives as well as non-financial incentives can help forge the transition to e-3Ws. Policy instruments such as scrappage incentives will further aid in accelerating the adoption of e-3W.

Key Segments Covered:-

By Wheeler Type

Passenger

Goods

Personal

By Vehicle Category

Transport

Non-Transport

Registration by Region

North

East

West

South

Registration by State:-

3 Wheeler Makers Covered:-

Bajaj Auto Ltd

Piaggio Vehicles Pvt Ltd

Atul Auto Ltd

Mahindra & Mahindra Limited

Yc Electric Vehicle

Tvs Motor Company Ltd

J. S. Auto (P) Ltd

Continental Engines Pvt Ltd

Saera Electric Auto Pvt Ltd

Mahindra Reva Electric Vehicles Pvt Ltd

Vani Electric Vehicles Pvt Ltd

Champion Poly Plast

Terra Motors India Pvt Ltd

Dilli Electric Auto Pvt Ltd

G.K. Rickshaw

Best Way Agencies Pvt Ltd

Thukral Electric Bikes Pvt Ltd

Scooters India Ltd

Mini Metro Ev L.L.P

Unique International

Grd Motors

Pubang Etron Electric Motor Pvt Ltd

Energy Electric Vehicles

Zeniak Innovation India Ltd

Allfine Industries Pvt Ltd

Delta Autocorp Llp

3 Wheeler Electric Makers Covered:-

YC Electric Vehicle

Mahindra & Mahindra Limited

Saera Electric Auto Pvt Ltd

Mahindra Reva Electric Vehicles Pvt Ltd

Vani Electric Vehicles Pvt Ltd

Champion Poly Plast

Terra Motors India Pvt Ltd

Dilli Electric Auto Pvt Ltd

G.K. Rickshaw

Best Way Agencies Pvt Ltd

Thukral Electric Bikes Pvt Ltd

Mini Metro Ev L.L.P

Unique International

Grd Motors

Pubang Etron Electric Motor Pvt Ltd

Energy Electric Vehicles

Zeniak Innovation India Ltd

J. S. Auto (P) Ltd

Allfine Industries Pvt Ltd

Delta Autocorp Llp

Key Target Audience:-

E-Three Wheeler OEMs

EV Charger Manufacturers

EV Battery Manufacturers

Consultancy Companies

Industry Associations

Regulatory Bodies

Time Period Captured in the Report:-

Historical Period – 2016-2020

Forecast Period – 2020-2025

For More Information on the research report, refer to below link:-

India Electric Three Wheeler Market

Related Reports:-

India Commercial Two Wheeler Market Outlook to 2025: Driven by Changing Shopping Habits of Consumers and Rise in Demand from Tier II & Tier III cities

India Rental Two Wheeler Market Outlook to 2025 - Driven by Introduction of Electric Vehicles and Adoption of Dockless System in Vehicles

India Used Two Wheeler Market Outlook to 2025- Driven by Increase in Workforce Migration and Aversion towards Using Public Transportation

Contact Us:-
Ken Research
Ankur Gupta, Head Marketing & Communications
+91-9015378249

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