Quick Highlights:Honda has paused production of Activa e: and QC1 scooters after weak sales.Over half of all EV units manufactured remain unsold as per SIAM data.QC1 outsells Activa e: despite advanced swapping tech benefits.Limited city availability may have stalled Honda’s EV growth.Honda’s entry into India’s fast-growing electric two-wheeler market was widely expected to accelerate EV adoption nationwide. With the launch of the Activa e: and the more affordable QC1, the company attempted to replicate the massive success of its petrol scooters. However, the rollout strategy and demand curve have not aligned with expectations. According to data reported by the Society of Indian Automobile Manufacturers (SIAM), production of both electric scooters was halted in August 2025, pointing to a strategic pullback driven by slow market momentum.The two scooters were launched in January 2025 at price points that were seen as competitive, especially considering Honda’s strong brand equity in this segment. The Activa e: arrived at ₹1.17 lakh, while the QC1 debuted at ₹90,000. Both models were positioned as practical, feature-rich city EVs with reputed Honda reliability, and early sentiment suggested the Activa e: would be the volume driver due to brand recognition and its exclusive battery swapping system. Yet the market response has failed to meet projections.From February through July 2025, Honda produced 11,168 units of its two electric scooters. SIAM data shows that only 5,201 units were shipped to dealers across the same period, indicating that more than half the stock remains unsold. Such a drastic gap between production and dispatch volumes typically signals weak retail pull and dealership-level overstocking. In this scenario, pausing production allows inventory levels to stabilize and provides time to assess consumer sentiment more accurately.The Activa e: received particular attention when it was launched because of its swappable battery technology. This feature was meant to resolve some of the most persistent barriers to EV adoption: charging downtime, range anxiety, and long-term battery care. Battery swapping provides the convenience of replacing a drained unit with a fully charged one in a matter of minutes. However, the successful deployment of such technology requires consistent, accessible infrastructure. As of now, Honda is the only mainstream manufacturer offering battery swapping in India’s scooter market, and its charging ecosystem is still limited to select locations.A significant step was taken in June 2025, when Honda slashed its battery rental costs to make the Activa e: more attractive to cost-conscious buyers. Reports also suggested that development was underway for a home charging dock to broaden the convenience factor. Despite these measures, sales remained subdued, particularly when contrasted against the broader market surge. Brands such as TVS, Bajaj and Ather have reported steep month-on-month growth, contributing to an overall EV two-wheeler market expansion of more than 38 percent in October 2025 alone. The Honda EV range has not ridden the same wave.Interestingly, despite the technological advantages of the Activa e:, the QC1 has fared better commercially. Out of the total 5,201 units dispatched so far, 4,461 were QC1 models, accounting for around 86 percent. Only 740 were Activa e: units. The QC1’s lower pricing and bundled portable charger appear better aligned with current customer preferences, which are leaning heavily toward home charging convenience. Competitor portfolios also reinforce this preference, with most popular EV scooters offering plug-and-charge functionality rather than swapping-based models.Availability has emerged as a major restricting factor. The Activa e: is currently offered in just three cities: Mumbai, Bengaluru and Delhi. Meanwhile, the QC1 sells in six: Mumbai, Delhi, Bengaluru, Hyderabad, Pune and Chandigarh. Even this expanded network is modest compared to the national footprint of established rivals. Given the scale of demand for electric scooters across Tier I and Tier II markets, Honda’s limited rollout appears to have severely constrained market access and dealer throughput.Inventory build-up and slow traction may have compelled Honda to temporarily halt production, giving the company room to recalibrate its strategy. A wider sales network is likely to be necessary if Honda hopes to catch up to competitors gaining ground nationwide. Expansion into more cities could unlock pent-up demand, while product tweaks based on real-world usage feedback would help sharpen appeal.Despite the challenge, Honda’s approach still carries potential if supported through stronger infrastructure development, upgraded accessibility, and broader rollout. Battery swapping could evolve into a major differentiator in densely populated urban centers if the network grows at a steady pace.For now, industry observers will watch closely to see how Honda adapts. The electric two-wheeler market continues to accelerate, and Honda must act decisively to reclaim momentum and prevent further inventory pile-up.