While the rapid rise of electric cars has been the biggest shift in Nepal’s four-wheeler segment over the past five years, the mainstreaming of scooters has quietly transformed the two-wheeler segment.
Once a niche product, often dismissed as a city-only, gendered vehicle, or a lightweight substitute for motorcycles, scooters have become Nepal’s most popular form of daily mobility. Families, students, and young professionals now rely on them across both urban streets and rural roads. Over the past five years, scooters have grown from a small share of the market to around 50% of total two-wheeler sales.
Unlike the four wheeler segment, where electric vehicles (EVs) have become mainstream, petrol scooters still dominate Nepal’s scooter market. Electric scooters, however, are slowly gaining ground and are widely seen as a future growth segment.
How Scooters Took Over
Fifteen years ago, scooters accounted for just 5-10% of Nepal’s two-wheeler sales. Today, they make up roughly half the market. The shift reflects changing lifestyles, better roads, and a growing preference for comfort and convenience.
“Scooters are multipurpose and suitable for the whole family,” said Chiranjibi Shah, General Manager of Nebula Energy, the distributor of Gogoro scooters. “A scooter can be used by sons, daughters, fathers, and mothers. Motorcycles offer less flexibility.”
The change has been most visible in cities, where congestion and short-distance travel dominate. Scooters are easier to handle, require less physical effort, and perform better in stop-and-go traffic. This ease has expanded their appeal among women and older riders.
The perception of scooters has also changed. Scooters were once marketed largely as women’s vehicles. That distinction has faded. “Today, people of all genders ride both bikes and scooters,” said Yamaha Nepal’s Product Manager Samikchhya Gautam. “Acceptance has increased.”
Scooters have also become a practical household choice. They are convenient for shopping, carrying items and family use. As a result, many households now own both a motorcycle and a scooter.
A Growing Market
The scooter market has been growing at a steady pace. Authorized dealers of various scooter brands annual sales at 120,000 to 125,000 units, with potential to reach 150,000 units if EVs are included. This reflects an annual growth of 20–25%, though it fluctuates with market sentiment, fuel prices, and economic conditions.
The conventional (petrol) scooter market is dominated by established brands such as Honda, TVS, Yamaha and Hero, with the top three controlling most of the market.
Sales also show a clear seasonal pattern. Demand peaks in Chaitra (mid-March to mid-April) and Baisakh (mid-April to mid-May), when travel planning, festivals, and promotional offers coincide. “These months see higher sales because customers plan travel and companies introduce attractive offers,” Gautam said.
Yamaha’s scooter lineup includes the Aerox 155 BS6, RayZR 125-FI Hybrid BS6, and RayZR 125-FI Street Rally Hybrid BS6. The RayZR, especially the Street Rally variant, has been the strongest performer due to its sporty design, strong physical features, and multiple color options.
Yamaha was the first brand to introduce fuel injection technology in scooters in Nepal and remains the only one offering a hybrid scooter engine. “Innovation has been central to our approach for 15 years,” Gautam said.
Financing Fuels Demand
Easy financing has been a major driver of scooter sales. Most purchases are made through EMI schemes offered at showrooms, making scooters more accessible to students, young buyers, and first-time riders.
“The majority of scooter sales happen through financing,” Gautam said.
While cash purchases continue, EMI options have helped expand the market significantly.
This trend is particularly relevant for younger buyers. Most scooter buyers fall in the 22 to 35 age group, with students accounting for a large share. Parents are also encouraging children to learn riding earlier, which has helped build trust in scooters as a reliable mode of transport.
Electric Scooters See Slow, Steady Growth
Although electric scooters remain a small part of the market, growth is visible. In 2025, Nepal imported 6,852 units of two-wheelers, up from 5,172 in 2024. This represented a 32% growth. However, EVs account for less than 3% of the total two-wheeler market, with electric scooters making up only about 5% of scooter sales.
“The electric scooter market is still very small,” said Abhimanyu Golchha of Golchha Group, the distributor of Bajaj vehicles. “Monthly sales peak at around 600 to 700 units. EV penetration is barely 5%.”
Several factors explain this slow uptake. The first is trust. Early market entrants were often small Chinese brands with weak after-sales support, limited spare parts and poor service networks. “Many brands failed to provide reliable after-sales service,” said Ummeed Shrestha, director of Kuzu Nepal, the official distributor of Yadea. “Consumers gradually learned to identify brands they could trust.”
The entry of established Indian electric scooter brands such as Bajaj Chetak, TVS iQube, and Ather has helped restore confidence and signal long-term commitment.
Pricing is another challenge. Unlike electric cars, where tax differences make EVs clearly cheaper, electric scooters enjoy a smaller duty advantage. This narrows the price gap with petrol scooters and slows adoption.
“Only now are prices reaching a level where adoption can realistically begin,” Golchha explained.
Service infrastructure is another concerning issue. Buyers worry about battery life, spare parts, and repair facilities. “This is why Bajaj took a cautious approach. We launched the top-end Chetak 3501 model initially, focusing on building service trust before expanding,” Golchha said. “We are not rushing sales. Our focus is on building trust.”
Bajaj has opened a dedicated EV workshop in Narayanchaur and plans to expand gradually beyond Kathmandu once trained manpower and service networks are in place.
The electric scooter market in Nepal is dominated by a handful of brands. Yadea leads the market with 1,003 units imported in 2025. Other players include TVS iQube, Ather, Green Power, and Bajaj Chetak.
Yadea, a global leader in electric two-wheelers, entered Nepal in 2020. With more than 25 years of experience and multiple manufacturing plants across Asia, the brand is known for its technology and strong after-sales support. Yadea offers several models in Nepal, including the flagship Velax priced at Rs 245,000, and an electric bicycle priced at Rs 99,000 which has gained traction due to its two-year warranty.
Yadea’s warranty policies are also a differentiating factor. Models with graphene batteries come with a two-year or 20,000 km warranty, while LFP battery models offer three years or 50,000 km.
Gogoro offers a different approach through battery swapping. Instead of charging at home, riders can simply swap depleted batteries for fully charged ones at dedicated stations. “Range anxiety is a major concern with electric scooters,” said Shah. “With Gogoro, riders can travel 150, 200, or even 400 km without issues.” Gogoro sells three models in Nepal—Pulse, Crossover, and Jego, with Jego being the best seller. The battery swapping system has appealed to riders with high daily travel needs.
A Market of Coexistence
Looking ahead, the scooter market in Nepal is likely to keep expanding, but the shift toward electric models will remain gradual. Industry people say electric scooter adoption will expand as infrastructure improves, prices become more affordable, and service networks become more robust.
Shah expects electric scooters to grow at an annual rate of 5–7%, while petrol scooters continue to dominate overall sales. “People don’t switch overnight,” he says. “Electric scooters will grow slowly over time, just like electric cars did.”
For the scooter market as a whole, the outlook is positive. With rapid urbanization, congested roads, and growing demand for affordable mobility, scooters will remain the most practical and convenient choice for millions of riders in Nepal.
The market, however, is evolving. Brands that succeed will be those that can balance reliability, innovation, and trust. Petrol scooters will continue to power daily commuting, while electric scooters are expected to gradually increase their share, driven by advances in technology, supportive policies, and stronger after-sales networks.
The article was first published in the February 2026 edition of New Business Age magazine.
you need to login before leave a comment
Write a Comment
Comments
No comments yet.