Tata is developing three affordable EVs in the sub Rs. 10 lakh price range for launch within the next twelve to eighteen months in India
Following the launch of the Safari Dark Edition and CNG versions of the Tiago and Tigor, Tata Motors is banking big on its EVs as it plans to manufacture 50,000 zero-emission vehicles by the next financial year (April 2022 to March 2023 period). It is aimed to be ramped up to 1,25,000-1,50,000 units per annum over the next two years.
If the target is achieved, Tata’s EV business could generate Rs. 5,000 crore revenue by FY2023 as it looks to drive forward the momentum created already. Tata is currently the best-selling passenger electric vehicle brand in the country courtesy of the Nexon EV while the heavily updated Tigor EV based on the Ziptron technology was introduced last year.
Just a while ago, Tata announced setting up a new standalone EV brand called TPEML with an investment of Rs. 15,000 crore. Under the new vertical, Tata will launch ten new EVs over the next half a decade and the range could include a midsize EV coupe based on the Nexon and the return of the Sierra nameplate as an electrified SUV.
In addition, Tata is looking to launch three affordable electric vehicles in the sub Rs. 10 lakh price tag over the next year and a half. Tata is working on a longer range Nexon EV for launch this year with possibly more than 400 km drive range while an all-new Tiago EV, electrified Punch micro SUV and Altroz premium hatch are also in the development.
The trio of electric vehicles are expected to deliver a minimum driving range of 200 km on a single charge and the company will expand its reach further to address new customers. Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles unit and Tata Passenger Electric Mobility Limited (TPEML), confirmed that his brand will launch one or two products every year at different price brackets for increased affordability as plenty of action below Nexon and above it will be seen in the coming years.
In the long term, the company is focussing on garnering 20 per cent of its total sales volume from eco-friendly vehicles. It is worth noting that Tata’s EV market share increased from 18 per cent in FY19 to 82 per cent by the closure of 2021. By FY2023, if the intended target of 50,000 units is achieved, EVs will contribute to 12 per cent of its total volume.