Indian EV Battery Market To Grow $27.70 bn By 2028 At CAGR Of 10.56%: Report
A recently released report on the regulatory landscape for EV battery pack in India, points out that there is a huge potential for India in manufacturing EV battery packs as the country is heavily dependent on importing 60-65 per cent of the total component requirement for battery packs.
As the Report highlights, the Indian EV battery market size is also expected to grow from USD 16.77 billion in 2023 to USD 27.70 billion by 2028, at a CAGR of 10.56 per cent between 2023 and 2028, indicating that India's EV battery industry landscape is at the cusp of a remarkable expansion.
GameChanger Law Advisors, a Bengaluru-based corporate and commercial law firm, and Speciale Invest, a seed-stage venture capital firm, have jointly released this report named 'Charging Ahead'. The report contains a cross-jurisdictional, regulatory and industry analysis of electric vehicle battery packs.
In a rapidly evolving world towards sustainable and environmentally conscious solutions, the electric vehicle (EV) industry has emerged as a formidable force, promising a cleaner, greener future. At the heart of this global shift stands India, the fastest-growing economy in the world with immense potential to lead the electric mobility revolution. As a result, the demand for electric battery packs has increased substantially. While a majority of EV Original Equipment Manufacturers (OEMs) have developed battery pack assembly facilities in-house by using imported lithium-ion cells or purchasing imported battery packs, few start-ups continue to supply their battery packs to most two and three-wheeler OEMs, and this is a reflection of recent market trends.
Current Indian EV Market Trends
The Indian EV market was valued at $.3.21 billion in 2022, and is expected to grow to $113.99 billion by 2029 at a compound annual growth rate of 66.52 per cent. In 2022, 25 per cent of EVs sold in India were purchased by fleet operators, including for taxis. In recent years, EV sales in India have significantly increased because it is a cleaner and more efficient alternative to gasoline-powered vehicles. With the growth of sales of EVs in India, the Indian government has set a target to achieve 30 per cent electrification of India's vehicle fleet by 2030.
A survey predicts that India's domestic EV market will witness a 49 per cent compound annual growth rate between 2022 and 2030, and the number of EV units sold annually will touch 10 million by 2030.
