New Delhi: According to a Nomura analysis, infrastructure preparedness is emerging as the primary catalyst for widespread adoption, and India's shift to electric vehicles (EVs) would depend heavily on how quickly it can establish a strong charging ecosystem.
According to the survey, the primary factor influencing consumers' decision to abandon internal combustion engine (ICE) automobiles is still the availability of charging stations. "Charging infra as a key enabler - infra-readiness can unlock mass adoption," the paper stated.
Nomura cited China's quick development as a prime illustration of this course. By 2025, China will have about 20 million public charging stations, with robust coverage throughout tier 1/2 cities and highways, however there are still gaps in lower-tier areas.According to the research, "rapid scaling up of the charging ecosystem will be critical for mass adoption for India."

China's EV penetration increased dramatically from 5.7% in 2020 to 53.3% in 2025 thanks in major part to this massive infrastructure investment. According to the analysis, the change is indicative of a structural change in the auto industry. "ICE vehicles are in a structural decline and steadily losing market share as EVs have achieved cost parity, technological superiority and mainstream consumer acceptance," it said.
China's success, according to Nomura, was fuelled by a mix of quick technology developments, consistent policy support, and coordinated investments made by state-owned businesses, private corporations, and energy stakeholders throughout the value chain.Regarding policy, the paper underlined the significance of changing incentives. China continued to encourage EV adoption through indirect means even after phasing out direct subsidies in 2022. "While direct subsidies were phased out in 2022, the government continued to support EV adoption through purchase tax exemptions and scrappage/trade-in incentives," the research stated.
Additionally, by forcing conventional automakers to take part in the EV transition, regulatory mechanisms like the New Energy Vehicle (NEV) credit scheme produced a structural push towards electrification.
The paper recommended that India gradually move away from upfront subsidies like PM E-Drive and FAME and toward a more comprehensive ecosystem-driven strategy that includes credit systems, scrappage policies, and tax benefits.Strong execution skills were the foundation of success in China, according to Nomura, who highlighted industry-level learning. "The key success factors for EV OEMs in China have been: (1) significant and sustained investments in R&D... (2) developing and controlling the value chain... and (3) rapidly building scale to bring down costs," it stated.
It further stated that Indian producers must concentrate on developing fundamental skills in software, supply chain localisation, and battery technology. "Those who build cost advantages with scale will be better positioned to gain market share," the report said.
Overall, the analysis indicates that India's EV journey would necessitate a concerted push across industry, policy, and infrastructure, with China's experiences providing a clear road map for increasing adoption.