Sales of alternative-fuel passenger vehicles outpaced petrol-powered cars in India in August for the first time, an auto dealers’ body said on Monday, as the Middle East war raised oil prices and a public backlash against higher-ethanol-content fuel simmered.
Alternative-fuel models, including compressed natural gas, hybrid and electric models, accounted for nearly 42% of passenger-vehicle sales, while petrol vehicles stood at about 41%, according to the Federation of Automobile Dealers Associations (FADA), which represents dealers of major car and two-wheeler makers.
“This shift was bound to happen,” Sai Giridhar, FADA vice president, told Reuters. the trend was being sustained by a wider choice of alternative-fuel models, improved EV range and a gradual expansion of charging infrastructure, he said While E20 -related concerns may have initially accelerated buyers’ move away from petrol.
India is heading into its annual festive season, a period that typically spurs big-ticket purchases. The country’s largest carmaker, Maruti Suzuki India on Monday said it will raise prices of select models by up to ₹ 20,000 ($211.80) from September, its third hike since May.
The government earlier dismissed the backlash, calling it “wild claims” and asking people to not “fall for the rage bait”. Giridhar said despite inflationary pressures and price increases, dealers remain optimistic about sales.
