By surpassing the coveted 1 lakh EV sales milestone, Tata Passenger Electric Mobility Limited, the industry leader in India’s electric vehicle (EV) sector, has accomplished a ground-breaking accomplishment. This outstanding feat strengthens Tata Motors leading position in the nation’s electric vehicle market. Tata Motors has reached new heights as a result of the recent addition of the Tata Tiago EV to the roster, which builds on the success of previous models like the Tigor EV and Nexon EV.
Tata Motors, a long-standing company, has confounded expectations by seizing control of the EV market in a sector where start-ups have often dominated. It took five years to get to one lakh in sales, which shows a remarkable development trend. The initial 10,000 units took 44 months to sell, the following 40,000 in just 15 months, and the final 50,000 in just 9 months.
The Managing Director of Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility, Shailesh Chandra, expressed shock at the skyrocketing demand for their EVs. Chandra said, “The customers felt EVs were a car for the future, not the present,” in an exclusive interview with Autocar India. Moving forward to the present, we can see that the client perspective has changed much more quickly than we had anticipated. His astute observations highlight the paradigmatic shift in consumer perception, as EVs have moved beyond the position of far-off possibilities to desired and realistic present-day solutions.
Chandra mentioned two important reasons in the interview that contributed to the success of Tata Motors EV, particularly the revolutionary Nexon EV. First off, early adopters were essential in spreading positive word of mouth about the Nexon EV, ensuring future customers and winning over doubters. In the words of Chandra, “There was a lot of good word of mouth that gave comfort to the fence sitters that this is a practical car that can be used daily.” It’s interesting to note that early adopters changed their minds about EV from seeing them as supplementary cars to using them as their main mode of transportation.
Second, Chandra emphasized the critical part that government policies play in accelerating the adoption of EV. A major driver was the federal government’s advantageous tax policy, which levied a modest five percent GST on electric cars (EV) as opposed to the heavy 28 percent on internal combustion engine (ICE) vehicles. Additional incentives at the state level, such as the removal of the road and registration charges, encouraged the purchase of EV.
In conjunction with this accomplishment, Tata Motors unveiled the brand-new Tata Tiago EV, a car that within a year of its debut in January 2023 shot to the top of the sales rankings in India. The Tiago EV supports Tata Motors’ already enviable market share of over 85% in the EV industry and provides a seductive combination of cost and range. The Nexon EV, a perfect fusion of everyday use, lively performance, and affordability wrapped in an SUV body, served as the beginning of the success story. Since its release, more than 50,000 Nexon EVs have been sold thanks to this recipe. The Tiago EV has further democratized EV ownership by being reasonably priced, enabling a larger audience to join the electric revolution.
With an ambitious strategy, Tata Motors is continuing its dedication to electrification. Within a year, the business plans to release four new electric vehicles, including an updated Nexon EV, the Harrier EV, the Punch EV, and the Curvv EV. These products demonstrate Tata Motors’ commitment to serving different market groups and promoting the use of electric transportation throughout the country.
