Electric Vehicle (EV) startups such as Yulu are expected to experience substantial growth in the year 2021.

India's electric mobility sector is experiencing a surge in growth, driven by the revival of the economy and the e-commerce boom. One notable example is micro-mobility startup Yulu, which saw a quick recovery during Unlock 1.0.

Backed by Bajaj, Yulu regained its customer base in Unlock 1.0, attracting people who previously used auto-rickshaws, taxis, and buses. The company recorded its highest revenues in February, thanks to the rise in e-commerce activities. Yulu's customer base has expanded to include blue-collar workers and college students, in addition to white-collar individuals. The company also saw an additional business of 25%-30% due to the increased demand from food delivery executives.

Yulu, which initially operated within a 0-5km radius, aims to develop new packages and products to cater to demands up to 10 km. The revival of the economy has catalysed growth, with the recovery being much faster in Tier-II cities. The corporations showed a great consciousness about a greener environment, which helped the company.

Another Delhi-based startup, originally focused on passenger transport, pivoted to launch a cargo business during the pandemic. The startup quickly utilized its existing resources for its newly launched cargo business.

Electric vehicle startups in the shared mobility space are expecting multi-fold growth this year. Blu-Smart, an electric cab business, is experiencing rapid growth in demand. Companies in India's electric mobility sector, including manufacturers active in southern and western regions like Karnataka, Telangana, and Maharashtra, are also expecting multiple growth this year. Notable companies include Tata Motors with their Nexon EV, MG Motor, and Hyundai with their Kona EV, while Toyota is focusing on low-cost hybrid vehicles for the Indian market in collaboration with Suzuki.

The challenges faced by the industry on the policy front and electric vehicle products were discussed at the ETAuto EVConclave 2021, held over March 16 and 17. The event had the participation of government officials, industry leaders, experts, and technocrats. Rising fuel prices for traditional vehicles also contributed to the company's growth. Electric mobility is growing not just in percentages, but in multiples.

Electric Vehicle (EV) startups such as Yulu are expected to experience substantial growth in the year 2021.