Could India Go Electric With The Launch of The World's Cheapest Electric Car

There has been a lot of excitement around the launch of electric cars in India. The country has a huge demand for cars given its large population. The rising level of air pollution has also acted as a strong tailwind for increasing demand for electric cars. Given these facts, India should have been electrified to a large, if not full extent by now. The country, however, has stayed cold for electric cars so far. The major reason being the high price tag associated with these cars.

India is a highly cost-sensitive market. The country has already witnessed the likes of Camry, eVerito, e20, i8, etc. on its roads and has the potential to emerge as the largest market for electric cars. But the lack of charging infrastructure and high prices have dissuaded Indians from indulging in the same. Even citizens who are interested to go electric do not have the means to do so. However, China has emerged out as a major beneficiary of this situation. The country possesses both the technical know-how and manufacturing muscle to produce decent electric cars at affordable prices for the Indian market. The Great Wall Motors, China’s largest SUV maker, has announced its entrance in the Indian market with its Haval and ORA brands. The same will be launched at the upcoming Auto Expo 2020.

Also, read List Of Best Electric Cars Running In India

The electric car Ora R1, which is touted as the world’s cheapest electric car so far, comes with a range of 351Km running on a 35KW motor. It has a price tag of INR 6.2-8 lakh as compared to INR 28 lakh for Hyundai Kona. A conventional fossil fuel car averages around INR 5 lakh as against ~INR 13 lakh for an average electric car. Compared to these numbers, it looks like the Chinese EV is fairly priced for the Indian market giving the Indians an economical electric vehicle option.

As against India, China has its own manufacturing of lithium-ion batteries in the country, which gives it a tremendous cost advantage. India, on the other hand, imports lithium-ion batteries from countries like China, Taiwan, and Korea.