India’s three-wheeler (3W) market, a crucial component of last-mile mobility and urban transport, continued its transformative shift toward electric mobility in September 2025. While traditional fuels like petrol and diesel saw subdued demand, Electric Vehicles (EVs) continued to capture a growing market share, especially in the L5 (Goods and Passenger) segments. According to data from the Vahan Dashboard, this trend highlights a structural change in the industry, driven by economic benefits and policy support.
Table of Contents
- L5 Goods Segment: EV Momentum and Market Share
- L5 Passenger Segment: Electric Three-Wheelers Dominate Urban Mobility
- E-3W Sales Performance: Who's Leading the Charge?
- Market Dynamics and Emerging Trends
- Conclusion: An Accelerating Shift to Electric
- Frequently Asked Questions (FAQs)
The L5 Goods segment, which primarily caters to cargo and last-mile logistics, registered steady sales volumes in September 2025. The data clearly signals a long-term structural shift towards electrification.
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Electric Goods 3Ws: The segment reported sales of 2,434 units. While this was a slight month-on-month fluctuation, it marked a notable 25.5% penetration in total L5 Goods registrations - the highest in the past 12 months. This consistent rise in EV adoption is driven by fleet operators' preference for lower operating costs and sustainability goals.
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CNG-only Vehicles: Sales stood at 2,434 units, reflecting continued demand in markets with mature CNG infrastructure like Delhi-NCR, Uttar Pradesh, and Gujarat. CNG is acting as a transitional fuel for operators not yet ready to move fully electric.
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Diesel Models: Diesel registrations remained negligible, reinforcing the declining relevance of diesel in the small commercial vehicle space due to high fuel prices and stringent emission norms.
The L5 Passenger category, the backbone of urban and semi-urban mobility, recorded over 60,000 registrations in September 2025, a healthy performance driven primarily by electric three-wheelers.
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Electric Passenger 3Ws: EV sales climbed to 18,485 units, contributing a record 37.8% of total passenger 3W sales. This marks a steady rise from 35.9% in August and 33.4% in June, confirming sustained consumer confidence in electric mobility.
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Key Drivers for EV Adoption:
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Low total cost of ownership (TCO).
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Availability of financing options and battery-leasing models.
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Strong demand for e-rickshaws, especially in North and East India.
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CNG and Petrol/Diesel: CNG-only 3Ws maintained a stable position with 18,445 units, while petrol and diesel models continued their phase-out, together forming less than 15% of total passenger registrations.
Check the latest Nifty Auto index movements to see how industry trends are reflecting on the major two-wheeler stocks.
An analysis of manufacturer-level data provides a clear picture of the leadership dynamics within the electric 3W ecosystem for September 2025.
E-3W Passenger L5 Sales
The electric passenger segment remains top-heavy, dominated by Mahindra and Bajaj Auto.
| OEM |
Sales |
YoY Growth |
| Mahindra (MLMM) |
7,258 |
+56% |
| Bajaj Auto |
6,344 |
+42% |
| TVS Motor |
2,315 |
- |
| Piaggio Vehicles |
959 |
-38% |
E-3W Goods L5 Sales
The electric goods segment saw mixed performance among key players.
| OEM |
Sales |
YoY Growth |
| Mahindra (MLMM) |
477 |
-2.7% |
| Omega Seiki |
344 |
+53.6% |
| Green Evolve |
92 |
+130% |
| Bajaj Auto |
452 |
-12.9% |
Review detailed figures of TVS Motor’s September 2025 sales to understand its market momentum and growth drivers.
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Rapid Electrification: The growing cost gap between ICE and EV 3Ws, coupled with declining battery prices, is accelerating electrification.
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Regional Penetration: Northern and Eastern states continue to dominate electric passenger 3W registrations, while Southern states are emerging as hubs for L5 Goods EVs.
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CNG’s Transitional Role: CNG retains a strong foothold in logistics and mixed-fuel passenger segments but may see its market share plateau as EV infrastructure deepens.
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Diesel’s Decline: Diesel 3Ws are nearing complete obsolescence, accounting for a negligible share of total sales.
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September 2025 marked a key milestone in India's shift toward electric mobility in the three-wheeler sector. With EV penetration reaching 25.5% in the goods segment and 37.8% in the passenger segment, India is positioning itself as a leader in low-cost electric transport among emerging markets. Major OEMs like Mahindra, Bajaj, and TVS are driving this transition with extensive EV lineups, while supportive policies and financing models, including battery-swapping initiatives, are making EVs more accessible. The month's sales data highlights an accelerating shift toward a more sustainable and profitable future for India’s 3W industry.
1. What was the key trend in India’s 3W market for September 2025?
The market showed steady growth with a clear and accelerating shift toward electric mobility, especially in both the L5 Passenger and Goods segments.
2. How strong was EV penetration in the 3W market in September 2025?
EVs captured a record 37.8% market share in the Passenger L5 segment and 25.5% in the Goods L5 segment, the highest levels seen in the past year.
3. Which companies are leading the electric 3W market?
Mahindra Last Mile Mobility and Bajaj Auto are the clear leaders, dominating both the passenger and goods categories. TVS Motor is also showing rising momentum.
4. What is the outlook for the Indian 3W industry?
The industry is moving rapidly toward complete electrification, driven by the low operating costs of EVs, government policy incentives, and expanding charging and battery-swapping infrastructure.