India's EV Surge: 21.3 Lakh Units Sold, ₹42,500 Crore PLI Investment Fuels Manufacturing
Overview
India's electric vehicle and advanced manufacturing sectors hit record highs in 2025, selling over 21.3 lakh EVs. Government's Production Linked Incentive (PLI) schemes, particularly for auto and battery storage, attracted ₹42,500 crore in committed investments, driving significant job creation and strengthening the 'Make in India' initiative.
Record EV Sales and PLI Investments Mark 2025
India's push for clean mobility and advanced manufacturing culminated in a landmark 2025, with over 21.3 lakh electric vehicles sold and ₹42,500 crore in committed investments under Production Linked Incentive (PLI) schemes. The Ministry of Heavy Industries (MHI) released a year-end review detailing these significant achievements, reinforcing the nation's clean mobility goals and the 'Make in India' campaign.
PLI Schemes Catalyze Investment and Jobs
The PLI scheme for automobile and auto components, boasting an outlay of ₹25,938 crore, has spurred applicants to commit ₹42,500 crore in investments. This initiative is projected to generate ₹2,31,500 crore in incremental sales and 1.48 lakh jobs over five years. As of year-end 2025, ₹35,657 crore had been invested, with ₹32,879 crore in sales realized and 48,974 jobs created.
Electric Vehicle Adoption Accelerates
Incentives directly supported the production of 10.42 lakh electric two-wheelers, 2.38 lakh electric three-wheelers (e-3Ws), and 79,540 electric four-wheelers (e-4Ws). Domestic Value Addition (DVA) certifications were awarded for 94 OEM and 37 component variants, indicating deepening local manufacturing capabilities. The PM e-DRIVE initiative alone saw over 21.36 lakh EVs sold by December 2025, exceeding early targets for L5 e-3Ws and enabling the deployment of 14,028 e-buses.
Battery Storage and Future Manufacturing
The PLI scheme for Advanced Chemistry Cell (ACC) battery storage aims to build 50 GWh of domestic capacity. Awards have been made for 40 GWh to firms including Ola Cell Technologies and Reliance New Energy. Investments totaling ₹2,878 crore have been secured, with pilot production commencing at Ola Cell's gigascale facility. Furthermore, Phase II of the Capital Goods Scheme sanctioned 29 projects valued at ₹891 crore, supporting crucial infrastructure like Centres of Excellence and testing labs.
