Hybrids not cannibalising EV sales, powertrains woo different set of customers

INCREASING ADOPTION OF strong hybrid passenger cars is having a net positive impact on electric vehicle (EV) sales in India as the two powertrains are currently attracting different sets of customers, a note by HSBC Global Research said.

- SOUMYARENDRA BARIK

INCREASING ADOPTION OF strong hybrid passenger cars is having a net positive impact on electric vehicle (EV) sales in India as the two powertrains are currently attracting different sets of customers, a note by HSBC Global Research said. States which have offered incentives for hybrid cars have actually seen a strong growth in EVs, the note said.

The firm said that the perception that promoting hybrids will hinder EV adoption is "misplaced" since incentivising them "contributes to the broader development of the clean mobility ecosystem". "We think strong hybrid electric vehicles (SHEVs) and battery electric vehicles (BEVs) are not cannibalising each other but, rather, are attracting different sets of customers," the note said.