India’s electric commercial vehicle market is witnessing rapid growth, with retail sales jumping 155% year-on-year to 23,540 units between January and August 2026. The figure has already surpassed the entire 2025 sales of 16,695 electric commercial vehicles.
August was particularly strong, with 4,746 electric commercial vehicles soldmarking the highest monthly sales recorded so far and a 191% increase from the same month last year.
Electric Small Trucks Drive Growth
Electric light goods carriers are leading the expansion. A total of 17,292 electric light goods carriers were sold during the first eight months of 2026, representing a 202% year-on-year increase.
These vehicles accounted for 73% of all electric commercial vehicle salesup from 62% during the corresponding period of 2025.
The growth is being driven largely by demand for last-mile and intra-city transportation, including deliveries for e-commerce, FMCG, organised retail, parcel services and other businesses.
Tata Motors Remains Market Leader
Tata Motors retained the largest share of India’s electric commercial vehicle market, selling 7,867 units between January and August. Its sales increased 201% year-on-year, giving it a 33% market sharecompared with 28% during the same period last year.
Electric small commercial vehicles accounted for the overwhelming majority of Tata’s sales, with 7,717 units coming from models such as the Ace Pro EV, Ace EV and Intra EV.
The company is also expanding into heavier electric trucks and buses.
Euler Motors Becomes a Major Challenger
The biggest jump came from Euler Motorswhich sold 4,637 electric small commercial vehicles during the eight-month period.
That represents a remarkable 1,305% year-on-year increasegiving Euler a 20% share of the overall electric commercial vehicle market.
The Hero MotoCorp-backed company has overtaken Mahindra Last Mile Mobility to become the second-largest e-CV manufacturer by retail volumes. Its monthly sales have climbed consistently since March, reaching a record 869 units in August.
Buses and Heavy Trucks Also Grow
Electric bus sales increased 43% to 4,556 unitsalthough their share of the overall e-CV market declined to 19% from 35% a year earlier.
Meanwhile, electric heavy goods carriers recorded an even sharper increase, with sales jumping 618% to 1,637 units.
The overall market now includes more than 55 manufacturers, with companies such as Mahindra, Switch Mobility, JBM Auto, Olectra Greentech and Sany Heavy Industry also recording significant sales.
Market Could Cross 40,000 Units
With demand accelerating, electric commercial vehicle sales could cross 40,000–42,000 units in calendar 2026according to the industry analysis.
Rising operating costs for diesel vehicles, growing demand for urban deliveries and improvements in electric vehicle range and charging infrastructure are expected to support further adoption.
Summary
India’s electric commercial vehicle sales surged 155% to 23,540 units during January-August 2026already exceeding the full-year 2025 total. Tata Motors led with 7,867 units, while Euler Motors emerged as the fastest-growing major player with 4,637 units. Electric small trucks remain the biggest driver of the market’s expansion.