Prime Minister Narendra Modi on Friday said that the number of electric vehicles (EVs) in India could increase eight-fold by the end of this decade, showcasing the immense potential in this segment. He, therefore, urged the industry to invest more in this sector.

Speaking at the inaugural session of the Bharat Mobility Global Expo 2025 here, he also stressed on the need to continuously promote solar power and alternative fuels to tackle the challenges of global warming and climate change. Modi emphasised that significant work was being done in India on both EVs and solar power like PM Suryagarh-Free Electricity Scheme and ₹18,000-crore PLI scheme to promote advanced chemistry cell battery storage.

“Driven by the aspirations of the people and energy of the youth, India’s automobile sector is witnessing an unprecedented transformation…India is currently the world’s fifth largest economy and the third largest passenger vehicle market…If India becomes one of the top three economies globally, the country’s auto market will also witness unprecedented transformation and expansion,” Modi said.

Huge growth

He said that the sale of EVs has increased 640 times in the past decade from around 2,600 EVs that were sold annually 10 years ago, to over 16.80 lakh EVs that were sold in 2024. “The number of electric vehicles sold in a single day today is double the number sold in an entire year a decade ago,” he mentioned.

On the overall Indian automobile market, Modi noted that in the past year, the Indian auto industry has grown by nearly 12 per cent and the export was rising driven by the mantra of “Make in India and Make for the World”. He also mentioned that the number of cars sold annually in India surpasses the population of many countries. “The sale of around 2.5 crore cars in a year demonstrates the continuously growing demand in India…this growth showcases why India is viewed with such high expectations when it comes to the future of mobility,” he said.

Underscoring the importance of both need and aspirations for the growth of the auto industry, the Prime Minister remarked that India possesses both and that India will remain the world’s youngest country for many decades, with the youth being the largest customer base.

He said that this large youth demographic will create significant demand. Another major customer base is India’s middle class and over the past decade, 25 crore Indians have risen out of poverty, forming a neo-middle class that is purchasing their first vehicles, he said, adding that if this progress continues, this group will upgrade their vehicles, benefiting the auto sector.