Alternative Fuel Powertrains Hit 41.95%, Overtake Petrol in PV Retail
According to data released by the Federation of Automobile Dealers Associations (FADA), alternative fuel vehicles collectively surpass petrol-powered passenger vehicles in Indian retail sales for the first time. Alternative powertrains account for 41.95% of total passenger vehicle (PV) retail sales, while conventional petrol/ethanol vehicles account for 40.85%.
FADA Data on Passenger Vehicle Retail Powertrains:
| Dimension | Key Details |
|---|---|
| Breakdown of alternative powertrains | Alternative powertrains comprise CNG at 25.28%, strong/plug-in hybrids at ~9.00%, and EVs at 7.63%. |
| Legacy powertrains | Legacy powertrains comprise petrol/ethanol-blend at 40.85% and diesel at 17.21%. |
| Largest alternative fuel choice | CNG remains the single largest alternative fuel choice at 25.28% PV retail share. |
| Shift duration comparator | Just a year prior (August 2025), petrol-powered cars hold an 11%-point lead over all alternative powertrains combined. |
| Driver: running cost | Surging fuel prices drive buyers towards CNG and hybrid models offering lower operational costs per kilometer. |
| Driver: E20 transition | FADA dealers report consumer hesitation surrounding the national rollout of E20 (20% ethanol-blended petrol) fuel, nudging buyers toward non-petrol alternatives. |
| Rural vs urban PV retail growth | Rural PV retail sales grow by 24.99% YoY, while urban PV retail sales grow by 10.93% YoY. |
| Total EV sales | Total EV sales across all segments, including 2W and 3W, reach 2.98 lakh units and register a 52.9% YoY growth. |