EV retail sales cross 2.71 lakh units in May 2026, up 45% YoY; PV segment surges 81%

India's Electric Vehicle (EV) retail market continued its strong growth trajectory in May 2026, with total EV sales rising to 2,71,682 units, up 45% from 1,87,000-plus units recorded in May 2025, according to the data released by the Federation of Automobile Dealers Associations (FADA). The month marked a significant milestone for the industry, with EVs accounting for over 11% of all vehicle retail sales for the first time.

The broad-based growth was led by Passenger Vehicles and two-wheelers, while three-wheelers continued to remain India's most electrified vehicle category. The performance comes amid rising fuel prices, expanding charging infrastructure and increasing consumer acceptance of electric mobility, according the auto retail body.

Passenger EVs power growth

Electric passenger vehicle (PV) retail sales rose 81.2% year-on-year to 26,682 units in May 2026, compared with 14,725 units in the year-ago period. Market penetration improved to 6.6% from 4.5% a year earlier.

Tata Motors Passenger Vehicles retained its leadership position with retail sales of 10,340 units, followed by Mahindra & Mahindra at 6,210 units and JSW MG Motor India at 4,984 units. Maruti Suzuki India and VinFast Auto India rounded out the top five. The sharp growth underscores rising consumer confidence, aided by a widening choice of EV models across price points.

Commenting on the performance, C.S. Vigneshwar, President, FADA, described May as a landmark month for India's mobility transition. "For the first time ever, EVs crossed 11% of all vehicles retailed, with the industry registering 2,71,682 EVs, up 45% year-on-year," he said.

According to Vigneshwar, recent fuel-price increases have brought running costs into sharper focus for consumers, making the economics of electric mobility increasingly compelling.

He added, “The growth reflects a maturing ecosystem supported by deeper localisation, expanding charging infrastructure and a growing base of cost-conscious consumers. However, accessible financing, robust charging networks and policy stability will remain critical to sustaining momentum, he noted.

Two-wheelers drive volumes; three-wheelers retain lead

Electric two-wheelers remained the largest EV segment by volume, with retail sales climbing 62.76% to 1,70,733 units from 1,04,896 units in May 2025. Penetration in the category increased to 9.3%, compared with 6.1% a year earlier.

TVS Motor Company led the segment with 42,459 units, followed by Bajaj Auto at 39,202 units and Ather Energy at 28,240 units. Hero MotoCorp and Ola Electric Technologies completed the top five.

Electric three-wheeler sales rose 8.6% year-on-year to 71,867 units, with EV penetration reaching 64.4%, making it the most electrified vehicle segment in the country. Bajaj Auto led the category with 11,905 units, narrowly ahead of Mahindra Group at 11,168 units, while TVS Motor Company secured the third position with 3,590 units.

Meanwhile, electric commercial vehicle sales more than doubled to 2,400 units from 1,094 units a year ago, highlighting growing adoption among fleet operators and logistics companies. Tata Motors remained the segment leader, followed by Euler Motors and Mahindra Group.