Carmakers from industry leader Maruti Suzuki to Tata Motors, Toyota Motor, Honda and Citroen, a relatively newcomer in the Indian market, offer diverse options in powertrains, from petrol, diesel and CNG to flexible fuel, electric and hybrid.
Diversification of the engine, or motor in electric vehicles, options addresses both regulatory pressures and evolving customer preferences amid the increasing push towards cleaner mobility, according to industry executives and experts.
Tata Motors and Maruti Suzuki are at the forefront of the shift in India towards multi powertrains, offering electric, CNG and hybrid models in addition to their portfolio of internal-combustion-engine (ICE) vehicles. While petrol engine variants still dominate sales for most auto companies, demand for electric and hybrid vehicles could match or surpass that for ICE models in the next few years, say experts.
Manufacturers are likely to focus more on expanding electric and hybrid options, supported by advancements in battery technology and growing charging infrastructure. However, petrol and diesel engines will remain relevant, particularly in regions with limited electric vehicle infrastructure, said Ravi Bhatia, regional director at automobile consultancy Jato Dynamics.
Tata Motors, through its multi-powertrain strategy, has become the top player in the electric passenger vehicle segment. By the end of this decade, it would strengthen its CNG and EV market share through new launches like iCNG Nexon, the company said at a recent investor meet. It plans to launch 10 new EVs by fiscal 2026.
On the powertrain technology, Maruti Suzuki’s electrification strategy is to follow the route of introducing mild hybrids, then strong hybrids and EVs. In 2030, Maruti Suzuki will be 15% electric, 25% hybrid and the balance a mix of petrol, CNG and flex fuel (which can run on more than one type of fuel), the Suzuki Motor unit’s senior executive director, Shashank Srivastava, said during an earlier interaction.
Currently, CNG vehicles account for about 26% of total sales of the country’s largest carmaker. The proliferation of CNG refuelling stations across the nation has also been a game changer, industry insiders said.
Regulatory requirements – such as Corporate Average Fuel Economy (CAFE) standards that automakers need to meet – are major drivers pushing the industry to enhance fuel efficiency and reduce emissions. Automakers said alternative fuel technologies such as electric, hybrids, CNG, biogas and flex fuel need to coexist with traditional fuel options of petrol and diesel to support the transition to cleaner and more sustainable transport options.
Also, the central government has set a target of EVs contributing 30% to sales across segments by 2030, while customers are starting to prefer electric and hybrid vehicles because of their lower running costs. These factors are also pushing manufacturers to launch more models in these segments.
Growing charging network is helping boost customer confidence in EVs. However, supply chain, battery costs and charging infrastructure have to significantly improve before fully electric cars can take off in a big way.