Hero Moto's Vision for the Future of Electric Two-Wheelers

Hero MotoCorp, India's leading two-wheeler manufacturer, has made a striking prediction that electric vehicles (EVs) will constitute 50% of the scooter market by 2030. Despite the current volatility in leadership within the electric two-wheeler segment, Hero Moto is committed to a significant investment of Rs 1,000 crore in the EV sector this year. The company plans to introduce new electric scooters and motorcycles, including collaborations with the American brand 'Zero'.

Current Market Dynamics and Future Expectations

The electric two-wheeler market is currently experiencing rapid shifts in leadership, with companies like Ola Electric, TVS, and Bajaj Auto vying for the top spot. Hero Moto's 'Vida' brand, launched in October 2022, has seen modest sales in comparison. However, the company remains optimistic, citing the growth potential in the scooter segment and the gradual adoption in motorcycles. Hero Moto is also exploring synergies with Ather Energy, a startup in which it holds a majority stake, to enhance the EV ecosystem.

Challenges and Opportunities in the Electric Motorcycle Segment

While the scooter segment is expected to see rapid EV adoption, motorcycles face challenges due to the need for more power and longer range, which require larger batteries. This makes electric motorcycles heavier and more expensive, potentially limiting their appeal in the commuter segment. Hero Moto is actively working on its own electric motorcycle products and collaborations to address these challenges and capitalize on the growing demand for electric two-wheelers.