New Delhi: The country’s largest maker of commercial vehicles, Tata Motors Ltd, registered a 1% fall in April sales due to dampening overseas demand, which resulted in exports slumping 45% to 1,261 units.
Domestic sales fared better. The company sold 22,847 commercial vehicles in April, an increase of 9% compared with 21,001 units it sold in the same period last year. This was driven largely by sales of light commercial vehicles. They rose 52% to 14,794 units. Heavy commercial vehicle sales were down 28% to 8,053 units. Passenger vehicle sales declined 0.5% to 14,615 units in April compared with 15,243 units.
Meanwhile, JaguarLand Rover (JLR), the luxury car company owned by the Tata group is reported to be having trouble with a £340 million loan from the European Investment Bank, or EIB, The Sunday Times reported.
“Talks between Jaguar Land Rover and the government on a financial-aid package for the car maker have reached an impasse over the degree of oversight and management control being demanded by Whitehall,” the newspaper reported.
EIB is said to have agreed to dispensing the loan several weeks ago but cannot go ahead unless the UK government agrees to repay it if JLR goes bankrupt.
“JLR, owned by India’s Tata, is resisting the demands, the sources said, with some company executives suspecting they are being used as an excuse by the government not to commit to the loan deal,” the newspaper added.
PTI contributed to this story.