Bajaj Auto likely to launch new EV brand, targets over half a million electric sales in FY26

Bajaj Auto, which is among the top three electric two-wheeler makers in India, is all set to ramp up its EV play. Sources have told CNBC-TV18, the company is planning to launch five new Chetak scooters and five new electric three-wheelers in the coming months.

Speaking exclusively to CNBC-TV18, Rajiv Bajaj the MD of Bajaj Auto said. "With the rapid launch of new products over the next quarter, we anticipate that the continued rise in sales of our electric Chetak, electric three-wheeler and electric cargo three-wheeler will be significantly bolstered by the imminent launch of our e-rickshaw. This should have our electric vehicle portfolio exit FY25 at a rate of half a million units per year"

Sources say Bajaj Auto is likely to launch a new electric three-wheeler brand and a series of products for the commuter and cargo segment under the new brand identity. The e-rickshaw will be launched in the first quarter of FY26. This could significantly add to volumes.

Just the way the company's electric scooters are sold under the Chetak brand, the electric three-wheeler portfolio too, will get a separate brand identity.

Bajaj Auto has an 80% market share in the CNG three-wheeler segment and a 36% market share in the electric three-wheeler commuter and cargo segment.

The two-wheeler maker also emerged as the number one electric scooter maker to date in December with over 8,275 vehicles sold and a 28% market share. TVS sold over 6,573 electric two wheelers with a 22% market share. Ola Electric, which sold close to 5,400 scooters, has seen a drop in market share to 18.3%.

Bajaj Auto is set to launch an all-new Chetak electric scooter on December 20 this year. Sources told CNBC-TV18 that the new Chetak will have a bigger battery, higher range and more features than the current Chetak line up.

The company is now increasing production capacity to meet its target of selling half a million electric vehicles in FY26. The existing manufacturing facilities are being readied for higher production of the company's electric two and three-wheeler portfolio, with a monthly capacity of 40,000 vehicles by March 2025 and a further increase in FY26 if needed.

Bajaj Auto has so far sold 1.77 lakh electric two and three wheelers in FY25. The company has become the largest EV OEM in terms of total volume.