What Lies Ahead For The Electric Two-wheeler Sector In 2023
In the last few years, the automotive sector has worked hard to create an emission-free, modern, and tech-driven future for itself, collaboratively with the Government of India. The sector has responded to the growing call for the need to transition to clean, sustainable modes of mobility across the globe. In fact, electric vehicles have emerged as the most preferred option for sustainable mobility, witnessing growing adoption among car buyers globally, especially in India. A testament to this is the ambitious target set up by the Indian government of EV sales contributing 30 per cent of total vehicle sales by 2030, driven by generous subsidies and incentives.
The electric two-wheeler segment in India, in particular, has displayed tremendous growth over the past year driven by consumer enthusiasm. Between 2021-22, it recorded an exponential growth of 305.68 per cent, recording 6,15,365 units in 2022 compared to 1,51,685 units the previous year. This growth trajectory is only expected to rise, thanks to timely policy interventions and the committed efforts of the relevant stakeholders. The recently announced customs duty exemption for capital goods required to produce lithium-ion batteries in the 2023 Budget will only benefit the continued growth of this industry.
The expansion of the electric two-wheeler segment will bring in a welcome diversification for the key players. Many new-age start-ups are aiming to bring in the green mobility revolution with their aspirational and affordable products. A commitment towards delivering on customer needs, resolving pressing issues and leveraging modern technology will ultimately determine the future growth trajectory.
Government incentives, combined with industry-wide efforts to build a strong supporting EV ecosystem, will eventually make electric two-wheelers a sought-after proposition for future buyers. A robust charging infrastructure and improving battery levels will firmly cement this growth-centric ecosystem. And an approach that focuses on using cutting-edge technology while striving to give a competitive offering to the customer, will prove to be a major determinant. After all, Indian buyers expect nothing but the best and are now being spoiled by future-ready, tech-savvy, and attractive choices across segments.
Long-standing issues such as range anxiety, slow charging, and questionable quality are continually being addressed to allay customer apprehensions. Every company in the electric two-wheeler space, whether they are a legacy brand or a new-age startup, is aware that having a customer-first approach and being clearly focused on addressing every kind of challenge, will determine the level of success that they can achieve. They must also strive to make them not only smart, secure, and comfortable, but also accessible and affordable, if they are to be adopted on a mass scale.
Lastly, as we usher into an exciting era of mobility, the timing seems prudent for manufacturers in this space to give all that they have to offer. The responsibility to create clean mobility solutions that are ecological and ethical should be taken with utmost seriousness. Focusing on quality offerings with robust core technologies at the battery level, along with a drive to bring intuitive, intelligent modifications, will help us envision a future-ready vehicle. This is our best chance to push the limits and make the most of our intellectual and industrial capabilities to develop the next phase of mobility.
