India (Commonwealth) _ Tata Motors, India’s largest electric manufacturer, is testing its electric vehicles in several worldwide markets, with a prospective launch if the experiment is successful, according to its managing director.
The tests are still in the early phases, and depending on how the cars perform, Tata may need to make some adjustments to the product before finalizing and developing a “go to market” strategy, according to Shailesh Chandra in an interview.
It is about deciding which markets to enter, what products to sell, and what distribution method to use. We’re evaluating several markets, testing our vehicles, and talking with commercial partners, he said.
Chandra stated that it was too early to talk specifics about export markets, and that there will be more clarity next year. Tata also aims to open new auto shops in some Indian cities that will only sell EVs in the future quarters as sales of its clean cars pick up and it expects speedier launches of new electric models, according to Chandra.
Global EV sales are increasing as tighter emission restrictions force automakers to expand the proportion of electric vehicles in their fleet. While Tesla continues to lead the EV race, Chinese competitors such as BYD are catching up with new manufacturing and aggressive exports.
Tata Motors, which currently sells three electric vehicles, unveiled its fourth on Thursday in New Delhi: a new version of its Nexon electric SUV with a starting price of 1.5 million rupees ($18,000) and a range of 465 kilometers (289 miles) on a single charge.
The EV maker controls more than 80% of India’s modest but expanding electric car industry, in which it competes with China’s MG Motor and homegrown Mahindra & Mahindra (MAHM.NS). Tesla is also considering opening a factory in India and is in talks with the government to create a $24,000 car.
The government plans to increase this to 30% by 2030, from roughly 2% of total car sales in India last fiscal year of 3.9 million.
The Mumbai-based automaker has stated that it intends to have 10 electric vehicles in its range within the next three to four years, with EVs accounting for 25% of total vehicle sales by 2025. Chandra stated that the company is on track to reach its goals, including a target of selling 100,000 EVs in the current fiscal year.
Growing sales and the new Nexon EV have prompted the company’s decision to open EV-only showrooms, according to Chandra. It will not be a pan-India roll out, but rather a progressive roll out. We want to thoroughly understand the implications of an exclusive shop versus what we were offering through our existing channels, said Chandra.
Tata has a nationwide dealership network for its gasoline and diesel vehicles, through which it now sells its EVs. Chandra stated that new EV outlets would be opened in both small and large cities, based on the company’s current dealership network.
Tata’s ability to ramp up EV manufacturing and launch new electric car models more quickly would also boost the company’s plan for additional dealerships, which can now offer a broader portfolio, making them more feasible, according to Chandra.
Previously, the main issue was a lack of demand assessment. today, we are very well prepared to deal with a faster ramp up, he said.
Tata Motors Limited manufactures passenger vehicles, trucks, vans, coaches, and buses. The young electric vehicle (EV) market in India has recently attracted big carmakers, but it is mostly dominated by Tata Motors, which has an 88% market share with only two EV models – Nexon EV and Tigor EV.
However, because to their price ranges, both automobiles cater to a small demographic, and EVs are already regarded pricey in India. However, Tata has now launched the Tiago EV, India’s most affordable electric vehicle, with a starting price of Rs 8.49 lakh (introductory and ex-showroom).
At this point, introducing a low-cost EV would only make it easier for the corporation to consolidate its market position.