Castrol has recently conducted a new study that reveals some of the factors which most Indian drivers would consider before switching to an EV. the new study draws on the views of consumers, fleet managers and automotive industry leaders from across India to reveal the factors driving EV buying decisions. 

According to the new study, on average for consumers in India, a price point of ₹23,00,000 (or $31,000), a charge time of 35 minutes and a range of 401 kilometers (from a single charge) represent the ‘tipping points’  to achieve mainstream EV adoption. The research also estimates that the annual EV market in India could be worth $2 billion by 2025 if all three tipping points are met, pointing to a possible EV-powered low-carbon recovery for the automotive industry.
Based on research from eight of the world’s most important EV markets, Castrol’s study examines five critical challenges that should be addressed to promote further growth in the EV market - highlighting the differing priorities for consumers and fleet managers. 
Key findings from the opinion research, which was conducted from December 2019 to January 2020, include:
 
EV sales to power up in 2022
On average, consumers in India said they would consider purchasing an EV by 2022. This is two years earlier than the global average (2024). However, two thirds (67%) of consumers in India said they are adopting a ‘wait and see’ approach. Over 40% of fleet managers said they are waiting for competitors to make the switch before they do.
 
Affordability is a deal breaker
Price is the number one priority for consumers in India with 67% of those surveyed saying that EVs are currently beyond their budget. The ₹23,00,000 (or $31,000) ‘tipping point’ for consumers in India is lower than the global average of ₹27,00,000 (or $36,000).
 
The study also finds that misconceptions about maintenance costs could be stopping consumers making the switch: 83% of Indian consumers say that these costs were preventing them from buying a fully electric car. This suggests that many consumers are unaware that the overall average cost of ownership of an EV over its lifetime tends to be lower than an ICE vehicle.
 
Need for instant recharge
Charge time was identified as the second most important challenge to the mainstream adoption of EVs, and consumers in India said they require an average charge time of 35 minutes before they would consider purchasing an EV. This is several minutes longer than the global average of 31 minutes. Nearly three quarters (72%) of those questioned believe EVs will only dominate on the roads once they can charge in a similar amount of time as it takes to refuel an internal combustion engine (ICE) vehicle. 
 
Call for higher range per charge
Range was ranked third on the priority list, with 64% of Indian drivers agreeing it is a significant barrier to mainstream adoption of EVs. On average, they expect a range of 401 km (from a single charge), approximately equivalent to the distance between Ahmedabad and Indore. This is significantly lower than the global ‘tipping point’ range of 469 km. However, around a third of drivers in India said they mainly use their car for commuting or short journeys, so this suggests that ‘range anxiety’ may only be partly driving their preference.
 
Mandhir Singh, chief executive officer at Castrol said: “The automotive industry has already demonstrated what it can achieve in response to the coronavirus crisis, turning its capabilities to producing much needed medical equipment. With EV technology constantly improving, the challenge now will be to drive a low-carbon recovery and accelerate the EVolution as quickly as possible. Castrol has been working with the automotive industry to develop unique e-Fluid technology to support EVs, from battery coolant e-fluid, e-greases and transmission fluids.
 
Bringing down the cost and charge time for electric vehicles while increasing range, infrastructure and vehicle choice will be critical to persuading consumers to make the switch to EVs.”

Sandeep Sangwan, managing director at Castrol India Ltd said: “Castrol’s global research shows that consumers are positive about making the switch to electric; buyers in India are keen to do so earlier than those in other markets. Although consumers in India are seeking a lower price point than consumers in other countries, they are also willing to accept a slightly longer charge time and a slightly shorter range. These market-specific nuances are important; Accelerating the EVolution provides a clear roadmap for the industry to help support the transition to accelerate mainstream adoption of EVs in India and around the world.”

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India’s automotive industry could face fresh supply chain disruptions by mid-July 2025 due to declining inventories of rare earth magnets, following tightened export restrictions and shipment delays from China, according to rating agency ICRA.

Jitin Makkar, Senior Vice President and Group Head – Corporate Ratings at ICRA, cautioned that the situation echoes the semiconductor shortage of 2021–22, which led to the loss of nearly 100,000 passenger vehicles. “Rare earth magnet inventories are projected to last only until mid-July 2025 for several passenger vehicle and two-wheeler applications,” he said.

Neodymium-iron-boron (NdFeB) magnets, critical for high-performance uses like EV traction motors and power steering systems, are heavily imported – around 85 percent of India’s USD 200 million imports in FY2025 came from China. These magnets make up nearly 30 percent of an electric two-wheeler motor’s cost, with motors priced between INR 8,000 and INR 15,000 depending on specifications.

To counter the supply challenge, Indian OEMs and auto component manufacturers are exploring several alternatives: importing fully assembled motors from China, sending rotors to China for magnet assembly, using substitute materials with similar properties, or switching to rare earth-free motors using electromagnets. However, each option faces significant logistical, regulatory, and engineering hurdles.

While the immediate impact could disrupt production planning, ICRA believes the crisis may also drive innovation and diversification in both materials and supply chains for the Indian auto sector.

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Hyundai Mobis, a part of Hyundai Group specialising in manufacturing of auto components, modules & systems, has developed a new rear safety control technology that can reduce rear-end collisions.

The company states its new active control technology uses sensors to detect approaching vehicles from behind and manoeuvre the vehicle out of danger, is expected to hit the market soon. It integrates sensors such as rear-side radars and front cameras with driving control technology.

The solution works when the driver engages the Smart Cruise Control (SCC) function on the highway. When the sensors detect any other vehicle at a proximity of 10 metres or less, it first emits an audio alarm or a visual warning on the cluster. When the situation keeps persisting after a certain amount of time, the vehicle automatically accelerates to maintain a safe distance. In addition, the rear side radars also detect the movement of the vehicle behind, while the front camera recognises the lane and vehicle ahead on the driving path to assist in safe acceleration.

Hyundai Mobis acknowledges that while some global OEMs have already integrated such technology, the functions are not yet advanced enough for the vehicle to control itself autonomously. On the other hand, its technology is able to independently adjust the distance between the front and rear vehicles and avoid dangerous situations.
The Korean company plans to further expand the scope of autonomous control for defensive driving against rear vehicles. Currently, the company is developing a lane-changing function to escape dangerous situations, in addition to an acceleration control function that allows the vehicle to speed up on its own.

Jung Soo-kyung, Executive Vice-President and Head of Automotive Electronics Business Units, Hyundai Mobis, said, “We will actively protect the safety of mobility users by providing solutions that can intelligently handle not only front-end safety, but also dangerous situations caused by rear vehicles while driving.”

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HARMAN, a leading automotive technology company and subsidiary of Samsung Electronics, has unveiled an advanced in-vehicle display that elevates the driving experience with consumer-tech-level visuals. This cutting-edge display, set to debut in the all-new Tata Harrier.ev, represents the first automotive integration of Samsung’s proprietary Neo QLED technology, exclusively licensed and optimised by HARMAN for vehicle applications.

The new 14.53-inch floating Neo QLED display delivers stunning home-theatre-quality visuals with vibrant colours, deep contrast and enhanced brightness, all powered by intelligent algorithms and a sleek, modern design. Engineered to perform flawlessly in all lighting conditions, the display incorporates HARMAN’s proprietary real-time visual control technology, which dynamically adjusts image output to optimize power efficiency. Among its key innovations are the industry’s first cadmium-free Quantum Dot display with intelligent Blue Mini-LED control, 1200-nit peak brightness, true black levels and an expansive 95 percent NTSC colour gamut. The ultra-slim design, featuring bezels under five mm, ensures a seamless and sophisticated aesthetic.

This breakthrough builds on HARMAN’s longstanding partnership with Tata Motors, which began with the integration of JBL audio systems in Tata vehicles across India. With the Harrier.ev, the collaboration now extends to premium branded displays, reinforcing both companies’ commitment to innovation and superior in-car experiences.

Shilpa Dely, Vice President – Displays, HARMAN, said, “We’ve brought together Samsung’s cutting-edge consumer display innovation and HARMAN’s deep automotive expertise to create something truly unique: a first-of-its-kind, in-vehicle visual experience that brings living room TV-level brilliance to the road. We have finally closed the gap between consumer and automotive display technology – and we’re proud to debut this global breakthrough with our trusted partners at Tata Motors.”

Anand Kulkarni, Chief Products Officer, Tata Passenger Electric Mobility Limited, said, “We’re committed to delivering world-class technology to Indian consumers. Together with HARMAN, we're bringing the best of consumer display innovation in India’s most capable SUV, the recently launched Harrier.ev, transforming it into a true third living space after home and office. This collaboration sets a new standard for in-cabin experiences – not just in India, but around the world.”

Sanjeev Kulkarni, Vice President – Sales, HARMAN, said, “Our partnership with Tata Motors spans more than a decade and is built on a like-minded approach to innovation, along with a joint promise to deliver the very best in-cabin experiences to our customers,”. “From JBL premium audio to advanced intelligent cockpit solutions, HARMAN is a defining part of the Tata driving experience. With the introduction of our new display product, we’re proud to take that collaboration even further.”

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Chinese-owned Swedish automotive major Volvo Cars has unveiled a new multi-adaptive safety belt, which it claims is a world-first technology aimed to further enhance safety for everyone in real-world traffic situations. The multi-adaptive safety belt is set to debut in Volvo EX60 in 2026, the company’s fully electric offering. It uses real-time data from the cars advanced sensors to adapt to traffic variations and the user wearing the seatbelt.

Based on the data input from interior and exterior sensors the seatbelt provides customised protection, adapting the setting based on the situation and individual’s profiles, such as their height, weight, body shape and seating position. For example, a larger occupant in a serious crash will receive a higher belt load setting to help reduce the risk of head injury. While a smaller occupant in a milder crash will receive a lower belt load setting to reduce the risk of rib fractures. Using over-the-air software updates, it gets better over time.

Asa Haglund, Head of Volvo Cars Safety Centre, said, “The world's first multi-adaptive safety belt is another milestone for automotive safety and a great example of how we leverage real-time data with the ambition to help save millions of more lives. This marks a major upgrade to the modern three-point safety belt, a Volvo invention introduced in 1959, estimated to have saved over a million lives.”

The Swedish carmaker stated that modern safety belts use load limiters to control how much force the safety belt applies on the human body during a crash. This new safety belt expands the load-limiting profiles from three to 11 and increases the possible number of settings, enabling it to optimise performance for each situation and individual. Unlike traditional systems, the new multi-adaptive safety belt can utilise data from different sensors, including exterior, interior and crash sensors. In less than a blink of an eye, the car’s system analyses the unique characteristics of a crash – such as direction, speed and passenger posture – and shares that information with the safety belt. Based on this data, the system selects the most appropriate setting.

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