INDIA'S only electric car manufacturer says government subsidies won’t be needed.
The boss of India’s only electric car manufacturer Mahindra says that zero-emission vehicles will soon be profitable.
Anand Mahindra, chairman of Mahindra and Mahindra Ltd, told the Bloomberg Global Business Forum in New York that the tipping point is approaching so rapidly that government subsidies will not be required to push sales.
He said: “We’ve just been believers for a while – we haven’t been making any money, but now the tipping point seems to be reached.”
“This is the single biggest business opportunity for the next couple of decades.
“Anyone not looking at these opportunities is going to miss out on growth.”
Bloomberg reports that some manufacturers have warned that building EVs is eating into their profits.
Mahindra signed a collaboration with Ford this week, which will see the pair cooperate on electric and driverless vehicle technology.
Sales of electric vehicles have been slow, due in large part to their relatively high cost compared with traditional petrol and diesel vehicles.
However, the demonisation of diesel and several governments announcing future bans on internal combustion engines have helped push sales of alternatively fuelled vehicles in 2017.
While the market share is still small at 4.4 per cent, the latest year-to-date figures released by industry body the Society of Motor Manufacturers and Traders revealed that the number of registrations of electric and hybrid models has increased by 32.7 per cent.