+353-1-416-8900REST OF WORLD
+44-20-3973-8888REST OF WORLD
1-917-300-0470EAST COAST U.S
1-800-526-8630U.S. (TOLL FREE)
New

Hybrid Vehicles Market in India (2025-2030)

  • Report

  • 58 Pages
  • January 2025
  • Region: India
  • Netscribes (India) Pvt Ltd
  • ID: 5925406
India's hybrid vehicle market is poised for substantial growth between 2025-2030, driven by stricter emission norms, rising fuel prices, and consumer demand for fuel-efficient options. The government's push for electrification, coupled with hybrid incentives, is fostering market expansion. Major automakers, including Maruti Suzuki, Toyota, and Honda, are investing heavily in hybrid technology. With growing consumer awareness and improving infrastructure, hybrid vehicles are positioned as a crucial bridge between internal combustion engine (ICE) and fully electric vehicles (EVs).

Market insights:

In FY 2024, a total of 3,23,913 units of hybrid vehicles were sold across the country. By the end of FY 2030, around 17,30,983 hybrid vehicles are expected to be sold, expanding at a compound annual growth rate (CAGR) of ~34.81% during the FY 2025 - FY 2030 period.

The government’s Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME-II) scheme continues to encourage hybrid vehicle adoption. As of 2024, hybrid penetration in India’s passenger vehicle segment remains around 2-3%, but is expected to rise significantly as fuel prices remain volatile and urban emissions become a critical issue. Automakers like Toyota, Maruti Suzuki, and Honda have already introduced strong hybrid models, targeting mass-market consumers. Additionally, the expansion of ethanol-blended fuel infrastructure and hybrid-electric drivetrain advancements will drive further adoption.

Market trends:

The hybrid vehicle market in India is evolving with key trends shaping its trajectory. Strong hybrids are witnessing increased adoption due to their superior fuel efficiency and government-backed incentives. Automakers are localizing hybrid technology, reducing dependence on imported components, and enhancing cost-effectiveness. Ethanol-blended hybrid engines are gaining momentum, aligning with India’s renewable energy goals. Additionally, technological advancements, such as improved regenerative braking systems and AI-driven power management, are optimizing vehicle efficiency. The expansion of sustainable mobility infrastructure is further accelerating hybrid adoption in urban centers.

Market influencers:

Stricter emission norms and rising fuel prices are major drivers pushing hybrid vehicle adoption. The government's Corporate Average Fuel Economy (CAFE) regulations are compelling automakers to develop fuel-efficient hybrid models. Furthermore, investments from companies like Toyota, Maruti Suzuki, and Tata Motors are strengthening the hybrid ecosystem. However, challenges persist, including high upfront costs and limited tax benefits compared to full EVs. Consumer perception of hybrids as a transitional technology also affects demand, though advancements in hybrid powertrains are gradually shifting preferences.

Table of Contents

Chapter 1: Executive SummaryChapter 2: Socio-economic Indicators
Chapter 3: Introduction
3.1. Market Definition and Structure
3.2. PHEV/BEV Aftermarket: Traditional Aftermarket Value Chain
3.3. Battery Electric Vehicles (BEV) vs Hybrid Electric Vehicles (HEV) vs Plug-in Hybrid Electric Vehicles (PHEV)
Chapter 4: Market Overview
4.1. Hybrid Electric Vehicles Market in India - An Overview
4.1.1. Market Size - Based on Value (FY 2023 - FY 2030e)
4.1.2. Current Market Scenario
Chapter 5: Business Model
5.1. PHEV/BEV Aftermarket: Traditional Aftermarket Value Chain
5.2. PHEV/BEV Aftermarket: Evolving Aftermarket Value Chain
Chapter 6: Market Influencers
6.1. Market Growth drivers
6.2. Market challenges
Chapter 7: Government Initiatives
7.1. Key Initiatives by the Government that Support the Hybrid Vehicles Market in India
Chapter 8: Market Trends
8.1. Key Market Trends
Chapter 9: Competitive Landscape
9.1. Mahindra & Mahindra Limited
  • Company information
  • Business description
  • Products/Services
  • Key people
  • Financial snapshot
  • Key ratios
  • Key financial performance indicators
  • Key business segments
  • Key geographic segments
Note: Financial information has been covered only for public companies.
9.2. Maruti Suzuki India Limited
9.3. Tata Motors Limited
9.4. Ola Electric Mobility Private Limited
9.5. BMW India Private Limited
9.6. Honda Motor Company Limited
9.7. Hyundai Motor India Limited
9.8. MG Motor India Private Limited
9.9. Toyota Kirloskar Motor Private Limited
9.10. Volvo Group India Private Limited
Chapter 10: Upcoming Products
10.1. Upcoming Product Launches
Chapter 11: Recent Developments
11.1. Recent Developments
Chapter 12: Appendix
12.1. Research Methodology
12.2. About the Publisher
12.3. Disclaimer

Companies Mentioned

  • Maruti Suzuki India Limited
  • Mahindra & Mahindra Limited
  • Tata Motors Limited
  • Honda Motor Company Limited
  • Ola Electric Mobility Private Limited
  • Toyota Kirloskar Motor Private Limited
  • BMW India Private Limited
  • Hyundai Motor India Limited
  • MG Motor India Private Limited
  • Volvo Auto India Private Limited

Methodology

Loading
LOADING...