Tata Motors plans to have 10 new battery electric vehicles (BEVs) in its domestic product portfolio by 2025 as it looks to drive its business model towards sustainable mobility going ahead, as per Tata Motors chairman N Chandrasekaran.
In his message to the shareholders, he noted that the auto major aims to be amongst the world leaders in sustainable mobility solutions and as part of that it is also exploring tie-ups in cell and battery manufacturing to secure supplies for its portfolio of green vehicles.
"In India, EV penetration in our portfolio has now doubled to 2 per cent this year and we expect penetration to increase exponentially in the coming years.
"Tata Motors will lead this change in the Indian market. By 2025, Tata Motors will have 10 new BEV vehicles and as a Group, we will invest proactively to set up charging infrastructure across the country," Chandrasekaran informed shareholders in the company's Annual Report for 2020-21.
In addition, the Tata Group is actively exploring partnerships in cell and battery manufacturing in India and Europe to secure our supplies of batteries, he added.
"We are also evaluating an automotive software and engineering vertical within the Group that will help us lead in a new world of connected and autonomous vehicles," Chandrasekaran said.
The Mumbai-headquartered firm is clear that this shift to sustainable mobility is an idea whose time has come, and the Tata Group will move forward with speed and scale to seize this and proactively drive the change in consumer behaviour in India and beyond, he noted.
Tata Motors Group is in the process of pivoting its underlying business model towards sustainable mobility.
Jaguar Land Rover is targeting 100 per cent zero tailpipe emissions for the portfolio it sells by 2036.
Jaguar will become fully electric by 2025 while 60 per cent of Jaguar Land Rover's volumes will be pure BEV vehicles by 2030.
"Globally, greater emphasis and scrutiny will be placed on building environmental sustainability and climate resilience into the very core of business models.
"To address and leverage these megatrends, we plan to make sustainable business models a bedrock of our strategy," Chandrasekaran noted.
As a large and diverse conglomerate based in India, but with a global footprint, Tata motors is uniquely positioned for this leadership, he added.
"Our companies are present in 150 countries, we employ over 750,000 people and touch the lives of 650 million consumers.
"I will be the first to say that we have a long journey ahead of us.
"But we are clear that this is the right journey we must undertake and have begun with pushing targets forward," Chandrasekaran said.
The auto major has sold over 4,000 units of Nexon EV units since its launch last year.
Tata Motors also sells Tigor compact sedan to fleet operators.
On the business outlook, Chandrasekaran noted that in the near term the impact of the COVID-19 pandemic is expected to gradually recede as more people get vaccinated.
"We expect demand to remain strong with consumer preferences shifting further towards personal mobility.
However, the supply situation is expected to be adversely impacted for the next few months due to disruptions from COVID-19 lockdowns in India and semiconductor shortages worldwide," he stated.
Due to this, a gradual improvement in performance is expected during the current year, he added.
"The business has demonstrated steadfast resilience in the face of adversity last year and has strengthened its fundamentals.
"This track record gives me the confidence that the business will continue to build on its turnaround last year and deliver an even stronger performance in the coming years," Chandrasekaran said.
In the 2020-21 fiscal, the company reported its highest-ever annual sales in eight years in the passenger vehicles segment helping its market share to grow to 8.2 per cent.