The electric vehicles industry at an initial stage in India. It is less than 1% of the total vehicle sales however has the potential to grow to more than 5% in a few years. At present there are more than 5 Lakh electric two-wheelers and few thousand electric cars on Indian roads. The industry volumes have been fluctuating, mostly depending on the incentives offered by the government. Many serious players (Hero Eco, Ather, Electrotherm, Avon, Lohia, Ampere, etc) are continuing with the mission and trying to enforce the positive change under the banner of Society of Manufacturers of Electric Vehicles (SMEV).

More than 90% of electric vehicles on Indian roads are low-speed electric scooters (less than 25km/hrs.) that do not require registration and licenses. Almost all electric scooters run on lead batteries to keep the prices low, however, battery failures and low life of batteries have become major limiting factors for sales besides government subsidies. Many manufacturers have taken initiatives to install the charging station with limited success. Players like Lohia and Electrotherm have developed Electric three-wheelers. Ampere and Hero have entered Electric Cycles segments. There are numbers of E-Rickshaw players mushrooming across the country and selling good numbers of E-rickshaw for last-mile connectivity.