'nepal Chose China Over Us': Blunt Warning Sounds Alarm For Indian Ev Carmakers

India mislaid a cardinal car marketplace — and it’s not successful Europe aliases Africa. It’s Nepal. For nan first clip ever, Chinese carmakers person overtaken Indian brands to go nan largest sellers of cars successful Nepal, grabbing a commanding 52.5% marketplace stock successful FY25.

“This is simply a immense deal,” wrote marketplace commentator Jayant Mundhra connected LinkedIn. “Maruti, Tata, Mahindra and different made-in-India cars had agelong dominated nan Nepali car market.” That dominance, he says, has now “evaporated” — and what’s worse, it happened connected a level playing field.

Nepal, a power-surplus federation pinch 85% of its energy originated from cleanable hydropower, saw electrical vehicles arsenic a strategical move to slash its dependency connected imported petrol and diesel — each of which came from India. It slashed tariffs and import duties connected EVs, making electrical cars acold cheaper than soul combustion motor (ICE) vehicles.

The result? “In FY25, 75% of each caller cars sold successful Nepal were electric,” Mundhra noted. “And 70% of those came from China.” Chinese automakers didn’t conscionable make a dent — they swept nan market.

To Mundhra, nan numbers laic bare an inconvenient truth. “This should beryllium a infinitesimal of reckoning for anyone who claims Tata and Mahindra’s EVs are arsenic bully arsenic Chinese ones. If they were, their income wouldn’t person vanished successful a neutral marketplace for illustration Nepal.”

He besides points to nan Indian market, wherever Chinese brands for illustration MG’s Windsor and BYD are making dependable inroads. “Windsor has near Tata’s Nexon and others successful nan dust—even while paying dense import duties. And still, their cars are cheaper,” he said.

The only logic Indian carmakers haven’t faced nan aforesaid wipeout here? “They should beryllium down and convey nan Government of India for keeping nan Indian marketplace protected. Else, things would’ve played retired precisely for illustration Nepal.”

Published on: May 6, 2025 8:54 AM IST