India’s electric vehicle battery demand is set to increase dramatically, projected to grow from 20 GWh in 2025 to 200 GWh by 2032. This growth is expected to drive strategic gains in component localization and supply chain development, according to a report by the India Energy Storage Alliance (IESA). The report indicates a shift towards a broader industrial ecosystem covering batteries, motors, power electronics, advanced chemistries, localized manufacturing, and supply chain investments.
The upcoming release of the report titled “India EV & EV Component Market Outlook 2025-2034” at the India Energy Storage Week 2026, scheduled for July 8-10, 2026, at Yashobhoomi (IICC) in New Delhi, is anticipated to attract over 200 exhibitors and more than 10,000 industry leaders globally. The event will showcase innovations in e-mobility, recycling, and supply chain localization.
Debmalya Sen, President of IESA, emphasized that India’s electric vehicle market is on the brink of significant growth, with battery demand expected to surge tenfold by 2032. Sen highlighted the importance of localizing production, advancing chemistry, and strengthening supply chains for the industry’s future progress.
India witnessed over 2.5 million electric vehicle sales in 2025, including 1.5 million electric two-wheelers and 0.7 million electric three-wheelers. While two-wheelers dominate the market currently, the report suggests that the next growth phase will come from passenger electric cars and light commercial fleets. The electric four-wheeler market in India is also expected to expand, supported by improved battery economics, enhanced charging infrastructure, increased OEM participation, and growing consumer acceptance.
The shift towards electrification in commercial mobility, especially in urban logistics, public transport, and fleet operations, is gaining momentum due to the compelling total cost of ownership (TCO) benefits. Vinayak Walimbe, Managing Director of Customized Energy Solutions, highlighted that the evolution of India’s EV market from policy to industry is creating new opportunities for component manufacturing and supply chain innovation.
