Alternative-fuel vehicles account for 40% of car sales; EV demand surges amid higher fuel prices

Electric vehicle (EV) and hybrid purchases have been gaining traction as Indian consumers shift towards alternative-fuel vehicles, aided by elevated petrol and diesel prices and mounting inflationary concerns in the wake of the West Asia war.While overall retail sales for the automobile industry grew by 22% in June, alternative-fuel vehicles — electric, hybrid and compressed natural gas (CNG) vehicles — together accounted for more than 40% of passenger vehicle retail sales for the first time, up from around 38% in May. CNG accounted for 24.3% of sales, followed by hybrids at 8.3% and EVs at 7.8%, as elevated petrol and diesel prices strengthened the case for lower running costs.Around 63% of EV sales in June came from the two-wheeler segment, while only around 10% came from four-wheelers,