Tata Motors Confident in Long-Term Electric Vehicle Prospects

Tata Motors remains optimistic about the long-term potential of the electric vehicle (EV) segment despite a recent decline in sales, which the company views as a short-term issue.

Speaking at the launch of Tata’s first mid-sized electric SUV, the Curvv.ev, Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicle and Tata Passenger Electric, highlighted the company’s goal to achieve one lakh EV sales this financial year.

Curvv. Ev Launch and Features:

The Curvv. Ev, launched at a starting price of Rs 17.49 lakh (with a 45 kWh battery), is Tata Motors’ second vehicle based on the advanced Pure EV architecture, acti. Ev.

This new mid-size SUV will compete with popular models like the MG ZS EV, Hyundai Creta, and Maruti Suzuki Grand Vitara. The Curvv. Ev boasts a long driving range of 585 km on a single charge for the 55kWh version and 502 km for the 45kWh version.

Tata Motors’ passenger electric portfolio now includes the Tiago EV, Tigor EV, Punch EV, Nexon, and the new Curvv EV. EV sales currently account for 12% of Tata Motors’ total sales.

Addressing the Sales Decline of Tata Motors:

Chandra acknowledged the recent decline in EV sales, particularly noting a 12% drop in July 2024 compared to the previous year. He attributed this decline to a high base effect from the first quarter and a significant decrease in fleet segment sales following the discontinuation of the FAME-II scheme, which previously accounted for 20% of their total sales.

Despite the downturn, Chandra remains confident in the stability of the personal EV segment and expects a recovery in the coming months, supported by new launches and the festive season. He also hoped that the forthcoming FAME-III incentives would continue supporting the EV industry, potentially including the fleet segment once again.

Overcoming Barriers and Looking Ahead:

Chandra noted that many barriers to EV adoption, such as charging infrastructure, price parity, and range anxiety, have been significantly reduced. With an increase in charging stations from a few hundred to 15,000-16,000 on highways, he sees no reason for concern over the long-term viability of EVs.

Tata Motors remains focused on the EV market and is preparing for future growth. The company plans to continue launching new models and expects that favorable regulations and incentives will further boost the sector. Despite the short-term challenges, Tata Motors is committed to leading the charge in India’s EV market.

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