Japanese electric vehicle manufacturer Terra Motors with its prime focus on the three-wheeler segment has recorded a sales growth of +13% in the financial year 2020-2021.
As Terra Motors sets to celebrate its 11th year in India in the three-wheeler (3W) EV segment, the company has announced a growth of 13% in the year of the pandemic. Akihiro Ueda CEO of HQ and CEO of Terra Motors said “We have recorded our business growth to be around +13%, 25% gross profit in comparison with FY2019. In other words, we can say we have successfully emerged with a silver lining in a period most companies considered to be dark”. He also mentioned thatTerra Motors is committed to achieving a 500-crore turnover from the three-wheeler segment by FY23.
Terra Motors aims to increase its sales volume by 200% from the previous year- 24,000 units (12,000 units sales forecast in FY2020). The company will be focusing on customer acquisition through increased loan support and expand their network of distributors.
50% of the procurement of Terra Motors product is from outside India but this pandemic situation has made the company realize that sustaining in the longer-term would be to focus on local expansion and to achieve the same, the Terra Motors team has already initiated discussion with local vendors in India and intend to make their procurement 100% locally in future.
EV adoption in India is not a buzzword anymore, a collaborative research by CII and KPMG indicated the adoption to be gradual. It highlights that the market adoption will be the quickest in the three-wheeler segment, followed by two-wheelers and electric buses, and then commercial cabs. The research also projects 3W segment to account for 65-75% of new sales and 25-35% in two-wheeler (2W) in 2030.