Mahindra and MG Impact on Tata Motors' Electric Car Sales in April 2025. Analysed
In April 2025, India's electric vehicle (EV) market witnessed a significant shift. Tata Motors, long the leader in the EV segment, faced stiff competition from Mahindra and MG Motor. This increased rivalry led to a notable decline in Tata's EV sales and a sharp dip in its market share. The once-undisputed front-runner now finds itself grappling with new realities as buyers weigh newer alternatives.
Tata's Market Share Takes a Hit
Tata Motors’ EV sales dropped by 14% year-on-year, with 4,461 units sold in April 2025 compared to 5,172 units in April 2024. This fall saw Tata’s share of the EV market shrink from 61% a year ago to 36% in April 2025—a steep decline for a brand that had once defined the affordable EV space in India. Much of this can be attributed to a slowdown in product momentum. With no major new EV launch in recent months and increasing pressure on pricing, Tata has struggled to match the freshness and perceived value offered by newer entrants.
MG Motor’s Steady Rise
MG Motor, on the other hand, posted a 23% year-on-year increase in EV sales, reaching 5,829 units in April. Leading this surge was the MG Comet EV, but it is the new Windsor that has turned heads with its combination of accessible pricing, premium features, and urban-friendly footprint. MG has now been the top EV seller in India for seven consecutive months—a title that not long ago would have been unthinkable given Tata’s dominance. Its market share rose to 28% in April, putting it within striking distance of the top spot.
What has worked in MG's favour is consistency in new product rollout and an urban-focused EV strategy. The brand has also been effective in building trust through its after-sales support and by marketing its EVs as stylish, aspirational vehicles rather than just practical city commuters.
Mahindra’s Late But Strong Entry
Mahindra has emerged as another major force, selling 3,002 EVs in April—the brand’s best-ever monthly performance in this space. With a 24% market share, Mahindra now commands nearly one-fourth of the Indian EV passenger vehicle market. Thirty-thousand plus bookings for BE6 and XRV 9e too would have dented the sentiment for Tata. This is particularly noteworthy given that its entry into the EV domain has been relatively recent compared to Tata.
The BE 6 and XEV 9e have played a central role in this growth. Both models are underpinned by a new architecture and are loaded with features such as fast charging, ADAS, and extended range, appealing strongly to buyers looking for advanced tech in their electric SUVs. Mahindra’s strong ICE SUV reputation seems to be translating well into the EV space, offering credibility and desirability in one package.
Market Momentum Shifts
The overall EV market in India grew by 58% year-on-year in April 2025, with total passenger EV sales reaching 12,330 units. This robust growth is reflective of the broader shift in consumer mindset, as more Indians show a willingness to adopt electric vehicles, driven by rising fuel costs, urban restrictions, and better charging infrastructure.
This evolving landscape is also becoming a test of brand adaptability. While Tata still holds the advantage of scale, local supply chain control, and early mover goodwill, buyers now expect more—be it in terms of design, features, or performance. Stiff competition from MG and Mahindra has shown that the market is open to alternatives, especially if they bring freshness and tangible value.
Tata's Response: Time to Reinvent
Tata Motors is aware of these pressures and is preparing a response. The company is investing in localised battery manufacturing, planning to reduce dependence on imports and lower costs. It is also gearing up to launch the Curvv EV and Sierra EV, both of which are expected to arrive later in 2025. However, with rivals already building momentum, Tata's response will need to be swift, and its next launches will be closely scrutinised.
April 2025, then, may be remembered as the month when the Indian EV market matured from being a single-player show to a genuinely competitive space—one where the customer stands to benefit the most.