Tata Motors currently leads the passenger electric vehicle segment courtesy of the good reception for the Nexon EV
Tata Motors’ stock grew by 15 per cent yesterday following the announcement of a new EV company in association with TPG Rise Climate and Abu Dhabi Development Holding as they have committed to invest more than one billion USD (Rs. 7,500 crore approximately) with an equity valuation of up to 9.1 billion USD. The EV vertical won’t use a separate manufacturing facility and instead will leverage Tata Group’s expertise across the ecosystem.
As many as 10 new electric vehicles are planned until FY2026 across different body styles and range capabilities and Tata Motors is also planning to expand its charging infrastructure to at least 25 cities as it wants to establish no fewer than 10,000 charging stations in the near future. The ecosystem will be provided by Tata Power, Tata Motors Finance, TCS/Elxsi, Tata AutoComp, Tata Chemicals, etc.
With the fledgling EV space and commitment towards self-reliance, Tata Motors is reaping the benefits of the sales numbers from its zero-emission portfolio. The Mumbai-based manufacturer is currently the largest passenger electric vehicle producer in the country and more than 10,000 units of the Nexon EV were sold already.
In early 2020, Tata entered the EV segment with the Nexon EV and to the surprise of many, it has emerged as a favourite. The decent range capabilities along with the accessible pricing, signature build quality and design resembling the ICE sibling are some of the reasons why the Nexon EV has been a success story and the brand averages 1,000 units per month in sales recently.
Tata Motors currently holds a 71 per cent market share in the passenger EV space and a few weeks ago introduced the updated Tigor EV based on the Ziptron technology. While Tata is already working on the electric variant of the Altroz premium hatchback, the soon-launching Punch could also gain an electric drivetrain in the near future as well.
The Nexon EV can return around 220-240 km driving range on a single charge in real-world conditions while the Tigor EV can go up to 200-210 km between charges and the brand will likely bring in larger capacity battery packs with higher range in its future models.