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Indian Auto Market Faces EV Challenges and Shifting Consumer Preferences

High EV costs, infrastructure gaps, and declining brand loyalty reshape mobility trends in India, with younger consumers driving demand for alternatives like Mobility-as-a-Service.

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Overview

  • Deloitte’s 2025 Global Automotive Consumer Study reveals that high EV costs and inadequate charging infrastructure remain major barriers to adoption in India.
  • A striking 72% of Indian car buyers are open to switching brands, reflecting a decline in traditional brand loyalty and a focus on quality and technology.
  • Younger consumers, particularly those aged 18-34, are embracing alternatives like Mobility-as-a-Service, signaling a shift from traditional car ownership models.
  • 76% of Indian consumers now prefer purchasing vehicles directly from manufacturers, highlighting the growing role of digital and OEM-led sales channels.
  • Despite rising interest in sustainability, 54% of consumers still plan to purchase petrol or diesel vehicles, underscoring the gradual pace of EV adoption.