Global Car Companies See Bright Future for Luxury EVs in India

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Global Car Companies See Bright Future for Luxury EVs in India (Image: BMW India)
Global Car Companies See Bright Future for Luxury EVs in India (Image: BMW India)

Delhi : As compared to the mass automobile market, luxury carmakers from around the world in India are seeing a strong uptake of electric vehicles in the segment and anticipate a considerably higher penetration rate of 10-15% by the end of 2023 and over 50-60% by the end of the current decade.

According to a recent study analysis by BNP Paribas, the mass automobile segment's year-to-date (April to December) EV penetration stood at 0.8%, up 33 basis points from the level in FY22.

Both BMW and Audi are thinking of starting local assembly of some of their EV models, encouraged by the response to the recent releases of e-luxury cars, the majority of which are pre-sold even before they arrive in India.

One of the four models it sells in this country, the EQS580, is currently only assembled locally by Mercedes-Benz.

The parent corporations and the India subsidiaries are negotiating a greater unit allocation. The majority of the imported models are priced above $1 crore and are subject to peak duties, making them unaffordable for a substantial portion of the market. However, neither the purchasers nor the makers have been deterred by the exorbitant costs or poor charging infrastructure.

The electric variant of the seventh generation 7-Series was unveiled by BMW India on Saturday. The vehicle, which costs $195,00,000, can accelerate from 0 to 100 in 4.7 seconds and has a range of 650 kilometres on a single charge, according to the manufacturer.

"By the end of 2023, we hope to have 15% of our global sales come from electric vehicles. 9% of 2022 has passed "According to ET, Asia-Pacific, Eastern Europe, the Middle East, and Africa are the senior vice president sales regions. He claimed that this may exceed 10% in India. The i7 is the BMW Group's fourth electric vehicle to be sold in India in less than two years. The MINI Electric, i4 midsize car, and iX SUV were all introduced in 2022. The flagship i7, which rivals the Mercedes EQS and will be sold as an FBU, will be entirely imported like the rest of the vehicles (fully built unit).

Vikram Pahwa, president of BMW India, said, "We will only take into consideration local assembly of models if the volumes exceed a specified threshold.

The initiation of a product blitz in India by international luxury car manufacturers has been prompted by India's 5% lower GST and exemption from road taxes for electric vehicles.