Electric Vehicles Monopoly of John Keells

 The car market in Sri Lanka is undergoing a dramatic makeover. After nearly five years of halted vehicle imports, the market has reopened — and electric vehicles are quickly becoming the new favorite. Leading this charge is BYD, distributed by John Keells Holdings, grabbing a massive share of the market and disrupting the old order.

Between March and May 2025, over 49,000 vehicles were registered, with electric models dominating the brand-new passenger segment. BYD has captured an impressive 72 percent of the SUV and crossover market, with their Atto 3 and Sealion 6 models selling fast.

In the new car category, Perodua still leads but only just, with 60 percent market share. BYD is nipping at their heels, commanding 30 percent with models like the BYD Dolphin hatchback and the mid-sized Seal sedan gaining popularity. The rapid rise of BYD signals a shift in consumer preference, threatening the dominance of traditional petrol and diesel cars.

Meanwhile, Browns & Company has entered the market targeting budget-conscious buyers with affordable electric models like BAW and Wuling, aiming to capture the lower-priced segment. DIMO is preparing to launch Tata’s electric line-up, though their success remains uncertain given Tata’s limited presence outside India.

United Motors, representing Perodua, is feeling the pressure. Their lineup remains fully reliant on internal combustion engines, and as electric vehicles become more affordable, they risk losing ground, especially in the sub-10 million rupee price range.

Luxury brands such as Mercedes-Benz and Jaguar face their own challenges. Due to steep taxes, luxury vehicles have become prohibitively expensive, making volume growth difficult despite brand recognition.

The Rs 10 to 20 million price segment is the most fiercely competitive, with a growing array of electric vehicles offering attractive features, lower running costs, and improved battery technology. Urban consumers, in particular, are driving the surge in EV demand.

This ongoing shift toward electric vehicles is not just a trend but a fundamental change in Sri Lanka’s automotive landscape. BYD and John Keells Holdings appear set to be the big winners, while traditional brands scramble to catch up or risk being left behind.