A vehicular electric drive system includes: an electric motor operatively connected to drive wheels; a hydraulically operated clutch disposed in a power transmitting path between the electric motor and the drive wheels; a gear mechanism disposed between the hydraulically operated clutch and the drive wheels; a first chamber accommodating the electric motor and the hydraulically operated clutch; a second chamber accommodating the gear mechanism; a partition wall disposed so as to isolate the first chamber and the second chamber from each other; a connecting hole formed on the partition wall; an oil seal fitted in the connecting hole; an oil pump provided to deliver the oil required within the first chamber; and a splash type lubricating mechanism provided to supply the oil to the second chamber.