BackTata Motors gears up for expansion with specialized EV dealerships in India
Tata Motors plans to create specialized dealerships in India for electric vehicles, as part of its strategy to strengthen its position in the growing EV market. The company will establish exclusive EV dealerships under the Tata.ev brand and is also finalizing its international strategy.
PremiumTata Motors Ltd. is in the process of creating specialized dealerships in India, specifically designed to cater to electric vehicles, as part of its strategy to further strengthen its position in the fast-growing electric vehicle market, as per Bloomberg.
“We felt the need to create a different brand philosophy and personality for EVs. We will start going for exclusive EV dealerships in the coming quarters," said Shailesh Chandra, managing director of the company’s passenger vehicle and electric mobility business.
Initially, Tata is planning to establish a few retail outlets dedicated to electric vehicles bearing the Tata.ev brand, introduced in August, according to Chandra's comments during a roundtable discussion with journalists in New Delhi. The company is also in the process of finalizing its international strategy, which could potentially involve the export of electric cars; however, specific target markets were not disclosed.
Tata intends to allocate approximately $2 billion towards the development of battery-powered models by the year 2027. According to data from the Federation of Automobile Dealers Associations of India, the company reported sales of 4,613 electric passenger vehicles, including the Tigor, Nexon, and Tiago EV models, in India last month, marking a 65% increase compared to the previous year.
The automaker is reinforcing its domestic electric vehicle supply chain with the construction of a battery factory in the western state of Gujarat, which is projected to have a production capacity of 20 gigawatt hours. Other firms with plans to manufacture lithium-ion cells in India include Ola Electric Mobility Pvt and Reliance Industries Ltd.
Reportedly, Tata will continue to adjust to evolving regulations, according to Chandra, who also mentioned that sales of diesel models are expected to decline further with the introduction of the Bharat Stage 7 emissions rule. Diesel models accounted for 16% of Tata's passenger vehicle portfolio in the last fiscal year.
(With inputs from Bloomberg)
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