Summary:
BRICS+ economies are accelerating electric mobility through subsidies and policy support, increasingly targeting affordable two-wheelers, three-wheelers, buses and shared transport. India’s PM E-DRIVE scheme is supporting EV adoption, while governments balance cleaner mobility with lower oil import dependence.
Electric vehicle adoption across BRICS+ economies is continuing to expand with governments using subsidies and policy support to accelerate the transition towards cleaner mobility. However, the approach is gradually shifting from supporting only private electric cars towards more affordable transport solutions such as electric two-wheelers, three-wheelers, buses and shared mobility.
An assessment covering 21 BRICS+ economies shows that at least 7 countries are directing EV support towards segments widely used by middle and lower-income consumers. These include India, China, Brazil, Indonesia, Ethiopia, Malaysia and Thailand. The focus is not only on reducing emissions but also on lowering dependence on imported oil and improving affordable mobility.
India’s EV Journey Moves Towards Wider Adoption
India has followed a phased approach towards EV adoption through multiple policy initiatives. The country’s EV ecosystem has been supported through programmes such as FAME and the PM E-DRIVE scheme, which aims to encourage electric two-wheelers, three-wheelers, buses, trucks and charging infrastructure.
Electric two-wheelers have been a key growth driver in India’s EV transition. According to the data, around 2.37 million electric two-wheelers were registered under the PM E-DRIVE programme by August 2026. EV penetration in the two-wheeler segment increased from 0.4% in the first half of 2021 to around 11% by July 2026.
The government’s support for electric mobility is also aimed at reducing India’s exposure to global crude oil price volatility, as the country remains heavily dependent on imported oil. A larger shift towards electric mobility can help reduce fuel import requirements over the long term.
Subsidy Models Differ Across BRICS Nations
Different BRICS economies have adopted different methods to promote EV adoption. Indonesia introduced subsidies for electric motorcycles, but when support was withdrawn in 2025, electric motorcycle sales declined 29%. The country later announced fresh incentives of around $173 per electric motorcycle in August 2026.
Thailand’s EV support programme provides subsidies of around $155 to $309 for eligible electric motorcycles priced below about $4,500. China has focused on large-scale adoption through trade-in programmes, with its initiative supporting the purchase of 12.5 million electric bicycles in 2025.
The broader trend indicates that governments are moving towards supporting vehicles that serve daily transportation needs rather than only premium electric cars. This approach aims to ensure that EV adoption reaches delivery workers, public transport users and small businesses.
Impact On Automobile Companies And EV Market
The continued policy push is expected to support demand for electric mobility solutions, especially in two-wheelers, three-wheelers and commercial transport segments. Automakers and auto component manufacturers are investing in battery technology, localisation and new EV platforms to benefit from the transition.
However, the sector still faces challenges, including battery costs, charging infrastructure availability, technology development and the gradual reduction of subsidies in some markets. As incentives reduce over time, EV adoption will increasingly depend on product affordability, operating cost advantages and consumer acceptance.
