Luxury EV Segment Captures 11% Share in India

Vahan data shows that luxury EV sales increased from 1,223 units in January-May 2024 to 2,027 units in the same period this year. For the full calendar year 2024, electric luxury vehicle sales touched approximately 51,000 units, up from around 48,000 units in 2023. This marks the first time that EV penetration in the luxury car and SUV segment has crossed into double digits.

Santosh Iyer, MD & CEO, Mercedes-Benz India, said, “More luxury customers are adopting electric vehicles. In 2025 YTD, the overall luxury vehicle market grew by 5%, while the electric luxury segment surged by 66%. Mercedes-Benz India saw a 73% growth in its electric vehicle sales.”

The company, which recently launched the EQS580 Sedan Celebration Edition in Chennai, is focusing on the top-end of its electric lineup. “We are expanding strongly in the premium EV space with the EQS Sedan, EQS SUV, and Maybach EQS 680 SUV leading the growth,” Iyer added.

BMW Group India has also made a strong mark in the electric luxury segment, having sold over 3,000 EVs to date. Vikram Pawah, President and CEO, BMW Group India, said, “BMW has been the leader in electric luxury mobility for the last three years. Currently, we hold a 58% market share in the luxury EV segment.” Between January and May 2025, BMW and Mini EV sales reached 1,020 units, reflecting a 110% growth compared to the same period last year.

BMW is also investing in creating a robust EV ecosystem, including expanding its charging network and offering customized charging solutions. Meanwhile, Audi India is providing its customers access to more than 6,500 charging points through a dedicated mobile app.

Although luxury EVs in India are priced between ₹1 crore and ₹3 crore, manufacturers see this segment as a strong future growth driver. However, EVs currently account for less than 10% of total sales for most luxury brands. For example, electric vehicles make up just 2% of Audi India’s total sales, while for Mercedes-Benz India, EVs contributed 7% to its total 19,565 units sold in 2024.