Why this is important to Wisconsin businesses: Wisconsin companies with products and technologies for the electric vehicle industry may find opportunities in India.
India could soon be the third largest global market for electric vehicles.
By 2025, the number of electric vehicles could reach 2.5 million, and the industry may create as many as 50 million indirect jobs by 2030, according to the Business Standard.
Indian government efforts in recent years have placed an increasing emphasis on moving away from fossil-fueled vehicles, as a result of the 2015 Paris Agreement on climate change. The efforts include offering $3.5 billion in incentives over five years to encourage the production and export of clean technology vehicles, requiring car manufacturers to make flex-fuel engines, and offering a battery swapping program that lets drivers trade their drained batteries for charged batteries at designated charging stations.
NITI Aayog, a public policy think tank and economic development agency of India’s government, has set goals that electric vehicles will represent 70% of all commercial cars, 30% of private cars, 40% of buses, and 80% of two- and three-wheelers by 2030. That comes in concert with the 2021 goal announced by Indian Prime Minister Narendra Modi for the country to reach net zero carbon emissions by 2070.
Industry reports say the Indian electric vehicle market was valued at $7 billion in 2021 and is expected to reach $30 billion by 2027, according to the Entrackr media platform.
The Federation of Automobile Dealers Association of India says retail electric car sales totaled nearly 112,000 in October 2022, up 185% from the same month last year.
A report by Ernst & Young says India’s electric vehicle industry attracted investments of about $6 billion in 2021 and is projected to draw $20 billion by 2030.
The push for electric vehicles in India presents opportunities for Wisconsin companies that manufacture components and create technologies for those vehicles, such as battery packs, power control units, electric motors and transmissions, and battery chargers.
The major electric vehicle producers in India are Tata Motors, JBM Auto, Olectra Greentech, Mahindra Electric Mobility, Ola Electric Mobility, Hero Electric, Okinawa Autotech, Ather Energy, Revolt Motors, and Tork Motors.