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Motor vehicle sales by type - India 2019

Two-wheelers are by far the most popular motor vehicle in India. Annual sales increased by almost 990,000 units to reach 21 billion units in 2018/19. Although passenger vehicle sales, too, are rising year-on-year in India, they only accounted for around 12.9 percent of the total 26.3 billion motor vehicles sold in 2018/19.

The land of motorcycles?

Comparatively cheap motorcycles dominate Indian motor traffic; two-wheelers have become very much a part of Indian culture. Even motorists who also own cars will be likely to use their two-wheelers for inner-city travel due to their traffic dodging abilities, better fuel efficiency and greater access to parking. Compared to many other countries, a motorbike is not a lifestyle choice where high power is idolized, but rather low-power bikes are seen as practical part of everyday life. The most popular manufacturer of two-wheelers in India is Hero MotoCorp, who accounted for 37 percent of the two-wheeler market in India in financial year 2016.

Ushering in EVs

India may soon set ambitious targets to electrify road traffic, and the first to be forced down this route will be low-powered two-wheelers. Already, the tax on electric vehicles is less than half that on those with combustion engines, and thus electric two-wheeler sales are expected to rise more than three-fold over the next decade to 26.5 million units in 2030. However, since the necessary infrastructure for electric vehicles is rather absent in India, the government will first have to invest in thousands of charging points before motor engines are phased out. Further down the line, combustion engine passenger cars will also be phased out, as India aims to significantly reduce air pollution and lower carbon dioxide emissions from the transportation segment.

Motor vehicle sales in India in 2018/19, by type

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