Business And Startup

India’s EV Race Heats Up: MG Eyes 80% New-Energy Sales as Rivals Scale Up

MG Motor India expects new-energy vehicles to reach nearly 80% of its total sales this year, as Tata and Mahindra also expand their electric lineups.

By Neha Joshi July 16, 2026

India’s electric vehicle race is picking up pace, and JSW MG Motor India wants a bigger share of it. Managing director Anurag Mehrotra says the company now expects new-energy vehicles (NEVs) — a category covering EVs, hybrids, plug-in hybrids and range-extender EVs — to make up nearly 80% of its total sales this year, surpassing its own long-term target of 75%.

Passenger vehicle EV penetration nationally had slipped below 4% at the start of 2026 but climbed past 8% by June, Mehrotra said, as rising fuel prices and growing awareness of running-cost savings drew more buyers toward electrified vehicles. ‘Demand is not the challenge any more. The challenge is giving customers enough choice,’ he told TOI.

MG isn’t alone in expanding its electrified lineup. Tata Motors remains India’s largest electric passenger vehicle maker, with EVs now accounting for roughly a fifth of its passenger vehicle sales. Mahindra’s electric portfolio has also grown quickly, contributing about 12% of its passenger vehicle volumes in June. Across the industry, EV sales are growing at around 70%, well ahead of the broader passenger vehicle market.

To capture more of that momentum, MG will introduce its first plug-in hybrid (PHEV) later this financial year, positioned mainly as an alternative for buyers who would otherwise pick a diesel SUV. Mehrotra said PHEVs combine an EV’s low running costs with the reassurance of a petrol engine for longer trips, eliminating range anxiety while avoiding dependence on charging infrastructure.

The technology is widely used in China and Europe but has yet to take off in India, where automakers have so far focused on either pure EVs or conventional hybrids. MG’s upcoming PHEV and future electrified models will be built on its newly unveiled ADAPT (Advance Drive Architecture Platform Technology) — described by the company as India’s first multi-new-energy-vehicle platform, capable of supporting battery EVs, hybrids, PHEVs and range-extender EVs on one common architecture.

Image credit: Wikimedia Commons/by Saiphani02