EV retail sales hit record August high of 2.98 lakh units, penetration rises to 12.3 pc: FADA

New Delhi, September 8 (IANS): Electric vehicle (EV) retail sales in India rose 52.9 per cent year-on-year to an all-time August high of 2,98,448 units in 2026, with overall penetration increasing to 12.3 per cent from 9.5 per cent a year earlier, according to data released by the Federation of Automobile Dealers Associations (FADA) on Tuesday.

As per the automobile dealers' body data, all four EV segments -- two-wheelers, three-wheelers, passenger vehicles and commercial vehicles -- recorded their highest-ever August retail sales.

Electric two-wheeler retail sales grew 67.05 per cent year-on-year to 1,83,204 units in August, although they declined 10.35 per cent from July's 2,04,362 units. In the segment, TVS Motor retained the top position in the segment with sales of 48,938 units, followed by Bajaj Auto at 41,114 units and Ather Energy at 28,757 units.

While Ola Electric sold 13,852 units -- a decrease of around 29 per cent YoY in the month.

Electric two-wheelers accounted for a market penetration of 10.7 per cent compared with 7.7 per cent in August 2025, according to the FADA.

Meanwhile, electric three-wheeler sales rose 25.28 per cent year-on-year to 79,846 units with segment penetration increasing to 65.3 per cent from 56.6 per cent a year ago. Bajaj Auto led the category with retail sales of 13,833 units, followed closely by Mahindra Last Mile Mobility at 12,806 units. TVS Motor sold 4,415 electric three-wheelers in August.

Moreover, the electric commercial vehicle segment emerged as the fastest-growing category with retail sales nearly tripling year-on-year to 4,702 units from 1,631 units in August 2025. While segment penetration increased to 5.18 per cent from 2.06 per cent a year earlier.

Tata Motors led the electric CV market with retail sales of 1,416 units, followed by Euler Motors at 849 units and Sany Heavy Industry India at 605 units.

In addition, electric passenger vehicle sales increased 51.89 per cent year-on-year to 30,696 units, while penetration improved to 7.6 per cent from 5.8 per cent in the year-ago month. Tata Motors Passenger Vehicles (TMPV) remained the market leader with sales of 13,158 units, followed by Mahindra & Mahindra at 6,464 units and JSW MG Motor India at 4,622 units. New entrants VinFast Auto India and Tesla India Motors and Energy retailed 2,199 and 116 units, respectively.

Commenting on the performance, FADA President Sai Giridhar said August 2026 was the biggest-ever August for electric mobility in India.

"The clear standout is Electric Commercial Vehicles, which touched an all-time monthly high of 4,702 units -- the single best month in our entire series -- nearly trebling year-on-year to a 5.18 per cent share, as fleet electrification moves decisively from pilots to purchase orders," he said.

Giridhar noted that electric two-wheelers continued to maintain penetration above 10 per cent even in a non-festive month, while electric three-wheelers remained structurally electric with a 65.3 per cent share of the segment.

"What is most telling is the shape of the trend. Even as overall auto retail sits well below last year's festive peaks, every EV category is holding within touching distance of a record set in just the last nine months," he said.

"This is no longer a subsidy story; it is running-cost economics, expanding charging infrastructure and maturing consumer confidence, supported by PM E-DRIVE and progressive state policies," he added.