TVS Motor grows 10% as India E2W market dips in July

India's electric two-wheeler registrations slipped 1.7% month-over-month to 1.91 lakh units in July 2026, breaking a strong recovery streak. TVS Motor was the only major OEM to post double-digit growth, cementing its lead with a 10% jump to 52,032 units. Ola Electric, meanwhile, saw registrations crater nearly 20%.

The dip signals a cooling after months of momentum. Still, year-over-year numbers tell a different story: July 2026 registrations were 85% higher than the 1.03 lakh units recorded in July 2025. The market has clawed back from a December 2025 low of just 97,989 units.

TVS and Bajaj hold their ground

TVS Motor's 52,032 units gave it a 27% market share, up from 47,413 units in June. The company has been pushing hard on its EV expansion. It launched the Orbiter electric scooter in Nepal this month after extending its iQube portfolio overseas.

During Q1 FY27 earnings, TVS reported electric scooter sales surged 86% year-over-year to 1,29,940 units. Management reiterated plans to outpace industry growth in both domestic and international markets.

Bajaj Auto held second place with 43,137 units, flat from June's 43,504. Its Chetak electric scooter now faces a different problem: demand exceeds production capacity. Bajaj said it is investing to expand manufacturing for better availability and international expansion.

Ola Electric's slide deepens

Ola Electric registered just 13,085 units in July, down 19.5% from June's 16,249. Its market share has shrunk to roughly 7%.

The decline comes as the Bhavish Aggarwal-led company grapples with operational and financial headwinds. Multiple insolvency petitions from suppliers allege unpaid dues. A recent report flagged sharp increases in overdue payments to MSME vendors beyond statutory timelines.

The weak July follows a stronger Q1 FY27, when Ola nearly doubled registrations sequentially to 43,719 units. The company attributed that quarter's performance to operational improvements. Whether those gains can be sustained remains unclear.

Ather raises capital as sales dip

Ather Energy posted 28,539 units in July, down 9.2% from 31,435 in June. That leaves it with about 15% market share.

The listed EV maker raised roughly ₹1,300 crore through a QIP this month, part of a planned ₹2,500 crore fundraise. Ather intends to deploy the capital on R&D, manufacturing expansion, and marketing. Whether fresh capital translates into market share recovery will be the test.

Smaller OEMs buck the trend

While the top players stumbled, several smaller manufacturers posted strong month-over-month gains. Revolt's electric motorcycle registrations climbed 27.2% to 1,131 units. Ultraviolette, which makes electric superbikes, grew 33.7% to 647 units. Electric scooter makers River, BGauss, Simple Energy, and Kinetic Green all reported sequential growth.

The pattern suggests that niche players can still find traction even as the broader market cools. Whether they can sustain growth as larger OEMs ramp production capacity is another matter.

The July dip does not derail the broader EV story. Year-over-year growth remains strong, and cumulative registrations crossing 1 crore mark a milestone for the sector. The question now is whether the market consolidates around TVS and Bajaj, or whether Ola and Ather can stabilize and fight back.

Source: Inc42 Media / Anjali Jain