India’s EV market could reach Rs 20 lakh crore by 2030, Gadkari says

Transport Minister Nitin Gadkari projects a Rs 20 lakh crore EV market and five crore jobs by 2030. India has 57 lakh registered EVs, while he flagged a need to scale electric-bus output to meet estimated annual demand of one lakh units.

— Source publishedThu, 27 Aug, 2026, 15:02 IST·First seen Thu, 27 Aug, 2026, 15:10 IST·Source ET Small Business

What happened

India EV market · Transport Minister Nitin Gadkari forecast India’s EV market will reach Rs 20 lakh crore and create five crore jobs by 2030. He cited 57 lakh

Key facts

  • Rs 20 lakh crore EV market by 2030
  • 5 crore jobs by 2030
  • 57 lakh registered EVs
  • 7% EV market penetration
  • 1 lakh annual electric-bus demand
  • 50,000-60,000 annual EV-bus manufacturing capacity
  • Rs 22 lakh crore Indian automobile industry size
  • Rs 78 lakh crore US automobile industry size
  • Rs 47 lakh crore China automobile industry size
  • Rs 22 lakh crore fossil-fuel imports
  • logistics cost target of 8%
  • logistics cost reduced to 10% from 16%

Why this matters

Target partnerships or acquisitions in charging, fleet electrification and electric-bus supply chains, where demand growth may outpace current domestic capacity.

What to watch

  • Annual electric-bus procurement orders and evidence that domestic output approaches the estimated one-lakh-unit annual requirement.
  • Rollout pace of public and depot charging stations, including uptime, electricity tariffs and urban coverage.
  • New FAME/EMPS-style subsidies, state EV policies, GST changes or production-linked incentives for batteries and components.
  • Battery-cell localization announcements, lithium-price movements and domestic battery-pack price declines.
  • EV sales mix by two-wheelers, three-wheelers, passenger vehicles and commercial fleets.
  • Large e-commerce, grocery and logistics fleet commitments to electrify last-mile delivery.
  • Track partnerships between organized retailers, fuel stations, utilities and charging-network operators for store-adjacent charging installations.
  • Expand assortment planning for EV-compatible tires, lubricants, chargers, electrical components, safety gear and battery-related service products.
  • Assess last-mile delivery fleet conversion opportunities, prioritizing dense urban routes where total-cost savings are already favorable.
  • Monitor financing, leasing and battery-swapping offers, which could unlock demand among price-sensitive consumers and small businesses.
  • Identify exposure to traditional auto-service categories that may see slower long-term demand as EV fleets scale.