Electric two-wheeler manufacturer River Mobility has raised $120 million (~₹11.4 billion) in a Series C funding round led by Elev8 Venture Partners and Claypond Capital.

The funding round also saw participation from Singularity AMC, Anicut Capital, 360 ONE Asset, JIIF, and HDFC Asset Management Company.

River’s existing international investors include Yamaha Motor, Mitsui & Co., Al-Futtaim, Marubeni Ventures, Lowercarbon Capital, Toyota Ventures, and Maniv Mobility.

The company said the funding will support the expansion of its manufacturing footprint.

In 2024, River raised $40 million (₹3.35 billion) in an oversubscribed Series B funding led by Yamaha Motor.

Electric vehicle (EV) sales in India reached 837,453 units in the second quarter of 2026, a year-over-year increase of 52.3% over 549,900 units, according to the data released by the Ministry of Road Transport and Highways through its Vahan Dashboard.

EVs accounted for 10.6% of overall automobile sales, which totaled 7,896,871 units during Q2 2026. India now has over 9.19 million registered EVs.

In April 2026, the Ministry of Heavy Industries (MHI) amended certain provisions of the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) program, reducing incentives for electric two-wheelers and three-wheelers. The amendment clarifies that the program remains strictly fund-limited, with a total approved outlay of ₹109 billion (~$1.16 billion).

In March 2026, Parliament’s Standing Committee on Industry raised concerns about the dominance of the automobile and EV ecosystem in the MHI, which is around ₹75.37 billion (~$802.49 million), accounting for about 94.9% of the total MHI demand. This is driven by Faster Adoption and Manufacturing of & Electric Vehicles, PM E-DRIVE, PM e-Bus, and Production-Linked Incentive (PLI) Auto, with PLI Auto alone accounting for about 74.8% of total demand.

While the central government has been pushing for EV adoption, India’s EV push is being stymied by policy fragmentation across states, underscoring the need for a uniform nationwide EV policy.