MG And Tata Motors EV Race Heats Up In FY26; Surges With A 28% Market Share

As JSW MG Motor India challenges Tata Motors‘ long-standing supremacy and closes in on the company, the electric passenger car market is expected to see an exciting race in FY26. In FY25, MG’s market share more than doubled to 28% from 13% the year before, placing it directly in rivalry with Tata, whose share dropped from 71% to 53%.

This change in market dynamics is the result of MG Motor’s aggressive growth, which was led by the September 2024 debut of the Windsor EV. The Windsor EV outperformed Tata’s best-selling models because to its overwhelming success. MG sold 13,997 Windsor EVs between September and January, more than Tata’s Nexon EV (7,047 units) and Punch EV (5,708 units). In FY25, MG sold 30,116 EVs overall, greatly reducing the difference with Tata, who sold 57,273 units.

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With electric models making up more than 50% of its overall sales in FY25, compared to just 10% for Tata Motors, MG Motor’s deliberate drive into the EV market is driving the company’s explosive growth. By FY26, the company hopes to have an even greater EV presence, with electric vehicles accounting for 60% of its total sales. “Even if the industry as a whole grows in low single digits, we expect double-digit growth.” The market for EV passenger vehicles as a whole rose at a slower rate of 19% in FY25, reaching 107,901 units, despite MG’s notable increase. This stood in stark contrast to FY24, when revenues nearly doubled.

The EV market is still growing despite the recession; sales increased from 47,350 units in FY23 to 90,969 in FY24 and now to 107,901 in FY25. With other manufacturers preparing a new wave of EV debuts, the competition is intensifying. With a 6% market share, Mahindra & Mahindra is getting ready to launch the XEV 9e and BE6. Hyundai is preparing for the e-Creta, while Maruti Suzuki intends to launch the e-Vitara. While MG is working on the M9 EV and Cyberster EV, Tata Motors is responding with the Harrier EV.

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Other companies are also gaining ground: luxury brands like Audi, BMW, and Kia together account for 8% of FY25 sales, while BYD and Hyundai alone represent 3% and 2% of the market. Because of its performance, MG has changed the scene and is now the biggest threat to Tata Motors’ hegemony. According to analysts, consumers should anticipate more options and a drive towards a greener future as the market develops with more competition and innovation.