Note: Chetak EV output hit by the 2025 magnet shortage
Market cap, ratios, CAGR and revenue: company table snapshot as of 30 Oct 2026 (the same figures on every page). Price: snapshot as of 30 Oct 2026. Not investment advice.
Where it fits
Two-wheeler makers buy motors (or make their own) with magnets inside and sell the finished scooter. They are the largest buyers by vehicle count in India's EV market.
Why it matters
This is where the risk became real: Bajaj Auto's Chetak output fell 47% year on year in July 2025 (10,824 units) as magnet shipments from China stalled, before the line restarted in late August. A domestic magnet base directly protects these volumes.
Where the value pool sits
Two-wheeler makers capture the vehicle margin, not the magnet margin. Their benefit from the scheme is supply security; some are also cutting the need for rare earths (Ola's ferrite motor was certified in Oct 2025; TVS is reported, unconfirmed, to be working on one).
Key drivers
E-two-wheeler demand and PM E-DRIVE incentives
Second sourcing from Indian magnet plants
Rare-earth-free motor designs
Potential bottlenecks
Thin magnet inventories at motor suppliers
Chinese end-use licensing for each importer
Ferrite motors are heavier and slightly less efficient, so not every model can switch
Investor metrics to watch
Monthly EV unit production vs dispatches
Commentary on magnet availability
Share of models on ferrite or reduced-rare-earth motors