In 2025, India’s electric vehicle (EV) market is set for big changes driven by supportive government policies, tech advancements, and more people interested in electric vehicles. The Vahan Dashboard shows that in April 2025, registrations hit 1,67,520, up from 1,40,096 in February 2025. India is making steady progress in adopting electric transportation. In this article, we’ll check out the top ten trends in the electric vehicle scene that are influencing how people get around in India, along with important advancements, new ideas, and some challenges we might face.
1. PM E-DRIVE scheme: Propelling the electric vehicle revolution
The Indian government is completely supporting the idea of electrification, for which the PM E-DRIVE project with a budget of ₹10,900 crore has been launched to encourage the usage of electric vehicle across sectors. The programme offers incentives for electric two-wheelers, three-wheelers and buses and trucks and also supports setting up charging infrastructure. The PM E-DRIVE is critical for the growth of electric mobility in tier-2 and tier-3 cities.
2. FAME II and PLI Scheme: Powering up the electric vehicle ecosystem
In EV space, incentives are ₹50,000 for e-rickshaw and carts, and ₹15,000 per KWh for an electric two-wheeler under the the FAME II (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) scheme. The INR 18,100 crore Production Linked Incentive (PLI) in ACC battery manufacturing will boost the domestic ACC battery manufacturing capacity. Collectively, the two initiatives have achieved greater localization of EV parts, provided employment opportunities and reduced import dependency.
3. Electric vehicle charging infrastructure: Expanding the network
India’s EV charging infrastructure is expanding quickly in order to alleviate range anxiety and support the country’s expanding EV population. According to guidelines released by the Bureau of Energy Efficiency (BEE), charging stations should be placed every three kilometers in cities and every 25 kilometers on roads. DISCOMs are also being called upon to provide reasonably priced electricity for public use. Commercial companies and public utilities like NTPC, REIL, and IOCL are investing in green charging infrastructure, which encourages the integration of solar and wind electricity into charging stations.
4. Digital integration: BHEL’s electric vehicle super app
The process of enhancing the EV consumer journey involves the assignment of Bharat Heavy Electricals Limited (BHEL) to create a comprehensive EV super app. People who use this platform gain access to instant charger reservations, payment integration features, nearby charger navigation, energy consumption statistics and client assistance services. The main objective focuses on eliminating user difficulties while enabling different charging stations to work with various vehicle manufacturers.
5. Greening logistics with zero-emission freight corridors
The Indian government has identified ten highway sections for designated use by Zero Emission Trucks (ZETs) to reduce environmental damage from freight transportation. The specialized infrastructure that runs along these routes serves the purpose of decarbonizing logistics by providing electric charging stations and refueling points as well as battery swap facilities. With policy support from NITI Aayog and MoRTH, trials of hydrogen fuel cell trucks and heavy-duty electric vehicles are already under way on routes like Bengaluru-Chennai and Delhi-Mumbai.
6. State-level initiatives: Delhi’s revamped electric vehicle policy
Delhi is leading the way with its overhauled EV strategy, which seeks to create 20,000 employment and reach 95% EV adoption in new car registrations by 2027. Fleet electrification in the state receives support through incentives which focus on the delivery sector and ride-hailing along with public transportation. The states of Maharashtra as well as Tamil Nadu together with Karnataka design their EV policies according to territorial needs and business capacities.
7. Manufacturing hubs: Tamil Nadu’s emergence
Through domestic production that amounts to 40%, Tamil Nadu has emerged as India’s leading EV manufacturing hub. The state has welcomed the establishment or expansion of major OEM operations including Tata Motors, Hyundai, VinFast, Ola Electric, and Ather Energy. Tamil Nadu is a well-liked location for auto and component manufacturers due to its skilled labor pool, investor-friendly laws, and EV-specific industrial parks. The state aspires to become a major exporter of electric two- and three-wheelers worldwide.
8. Cost-effective electric vehicle models: For the general public
Introduction of Tata, Hero Electric and MG Motor mass-market EVs has made electric mobility accessible to the public. Developments in lithium-ion battery technology combined with domestic manufacturing and government assistance enable electric vehicles to reach mass-market prices which are comparable to conventional fuel automobiles with driving ranges of 150-250 km. The availability of EV loans and subscription models drives quick consumer adoption of electric vehicles.
9. Regulation and safety: Controlling unregistered electric vehicles
Unregistered electric vehicle adoption needs to be controlled through regulation and safety measures. The unregulated EV adoption problem stems from the increasing number of low-speed electric scooters in the market. Unregistered electric vehicles lack basic safety certifications along with high-quality components. The Ministry of Road Transport and Highways (MoRTH) is currently establishing new strict safety measures that include compulsory electric vehicle enrollment and battery management system directives. The Bureau of Indian Standards (BIS) has undertaken the responsibility to certify electric vehicle battery products for enhancing consumer confidence levels and general product safety.
10. Tax breaks to promote electric vehicle purchases
Electric vehicle adoption is still strongly encouraged by financial incentives. Benefits like the ₹1.5 lakh tax deduction on EV loan interest under Section 80EEB of the Income Tax Act are still offered by the government. The GST rate on electric vehicle is still 5%, which is significantly less than that on ICE cars. In addition, a number of states offer subsidies for retrofitting kits that convert internal combustion engine (ICE) vehicles to electric vehicles, as well as exemptions from road taxes and registration fees.
In conclusion
The movement toward in 2025 across India will get supported by multiple elements including domestic manufacturing growth and infrastructure development along with innovative policies and better customer understanding. Indian electric vehicle leadership emerges from the combined efforts of public institutions working with corporate entities and forward-thinking buyers. The future of clean mobility in India is rapidly changing because of these emerging trends alongside innovative solid-state batteries and hydrogen fuel cell integration and V2G technology development.