India’s leading truck manufacturers, such as Tata Motors, Ashok Leyland, and Eicher Motors, as well as startups like EKA Mobility and Omega Seiki, are partnering with companies like Amazon, Bisleri, and Amul to develop small electric commercial vehicles (e-SCVs) to cater to the growing demand for quick commerce and doorstep deliveries. These e-SCVs are designed to meet the logistics needs of e-commerce, cold chains for fruits, vegetables, medicines, and FMCG companies.
According to Tata Motors’ executive director, Girish Wagh, demand for the electric version of its best-selling SCV, the Tata ACE, has grown by 40% in the first nine months of this fiscal year, with 70 corporate customers already on board. Eicher Motors, which has recently entered this category with its Pro X range of electric SCVs, is aiming to scale up sales of EVs for last-mile deliveries to e-commerce, cold chain, parcel/courier, and FMCG segments.
These e-SCVs, which run at a third of the cost of comparable small diesel vehicles, are expected to usher in the next phase of growth in the SCV segment and help meet sustainability goals set by multinationals to have zero-emission fleets by 2030. Eicher has a partnership with Amazon to introduce up to 1,000 zero-emission electric trucks across payload categories into the e-commerce giant’s delivery operations over the next five years.
While electric SCVs are up to 50% pricier than corresponding diesel vehicles, their lower operating costs (1:3.5/4 for electric vs diesel) make them more cost-effective if they run 80-90 km per day, according to industry estimates. These e-SCVs are set to revolutionize the logistics industry, making it more sustainable and cost-efficient.