India's EV Sales Double YoY in June, Account for 5% of New Vehicles: FADA

According to data from the Federation of Automobile Dealers Associations (FADA), electric vehicle (EV) sales in June 2025 nearly doubled compared to the same month last year. EVs accounted for 5% of all new passenger vehicle sales in June, up from 2% in June 2024.

Rise in EV Share Across Segments

The 2-wheeler EV segment increased from 6.07% in May to 7.28% in June. The commercial vehicle (CV) segment also recorded a marginal increase in EV share. Passenger vehicles led the shift in overall EV contribution.

Total vehicle sales in June dropped 9.44% month-on-month. Despite some boost from marriage and festival-related demand, variant shortages and financing challenges impacted volumes across segments.

Construction Equipment 

The Construction Equipment (CE) segment grew 44.98% month-on-month and 54.95% year-on-year. The segment’s performance was attributed to early deliveries and an active project pipeline.

CV Segment 

Commercial vehicles recorded a 6.6% rise in year-on-year sales. On a monthly basis, the segment saw a slight decline of 2.97%. New taxation norms and AC cabin requirements increased ownership costs.

Read more: Best EV Stocks in July 2025 Based on Market Cap, 5Y CAGR: Tata Motors, Samvardhana and More!

Government Capex 

Between June and August 2025, capital expenditure is expected to rise, focused on sectors like roads, railways, metro projects, and green energy. FADA noted this will likely support CV and CE demand.

The monsoon forecast stands at 106% of the long-period average. Improved rainfall could enhance rural liquidity, especially impacting 2-wheeler and tractor sales in the coming months.

Conclusion

EVs made up 5% of new passenger vehicle sales in June 2025. Despite a dip in overall auto retail, EVs, CE, and CV segments showed steady to strong performance, aided by seasonal demand and ongoing infrastructure activity.

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