Chinese Carmakers Chip Away a Third of India’s EV Market: Here’s How

Chinese carmakers have emerged as key competitors to Indian heavyweights such as Tata Motors and Mahindra & Mahindra (M&M) in the electric-vehicle market, new data show. The shift comes at a time when India–China commercial ties have warmed slightly amid tariff disruptions triggered by the Trump administration in the US.

According to data from automotive insights firm Jato Dynamics, Chinese carmakers such as BYD, MG Motor and Volvo now account for 33% of India’s EV market, placing them collectively in second position, behind domestic manufacturers. As reported by The Economic Times, Chinese brands sold 57,260 EVs till October this year, compared to 101,724 sold by Indian players.

Remarkably, just five years ago in 2019, Chinese brands had zero battery-electric vehicle (BEV) sales in India.

“These shifts represent more than volume momentum — they reflect how technology cycles, pricing evolution, and customer expectations are reshaping competitive strategy in India,” said Ravi Bhatia, president of Jato Dynamics India, in a LinkedIn post.

He added that OEMs aligning product, pricing and network strategies with real-time competitive intelligence will be the ones defining India’s EV future. “Brands like MG and Volvo illustrate an important distinction: ownership and brand origin are no longer the same in the EV era,” he noted.

BYD, Tesla’s global rival, formally entered the Indian automotive space in 2016 as a battery and bus-chassis supplier, mainly through its collaboration with Olectra for electric buses. It set up a manufacturing base near Sriperumbudur, Tamil Nadu. In November 2021, BYD launched the e6 electric MPV in India, followed by its first mainstream passenger EV, the Atto 3 electric SUV, assembled from semi-knocked-down (SKD) kits in Chennai.

British-origin carmaker MG Motor, wholly owned by China’s SAIC Motor, was revived in India in 2019 with partial Indian investment. It has since transitioned into a joint venture with India’s JSW Group.

Volvo, long associated with Scandinavian design and Swedish safety engineering, has followed a similar ownership path. While headquartered in Gothenburg, the company has been owned by China’s Geely Holding since 2010, a takeover that injected the capital needed to revive Volvo's global fortunes.

Now, ET reports that other Chinese EV makers, including Xpeng, Great Wall Motors and Haima, are exploring entry into the Indian market.