Tata Motors Tiago, Nexon Gets Cheaper, Auto Giant Cuts Prices By Rs 1.2 Lakh

Tata Motors' electric vehicle (EV) on Tuesday announced a significant decrease in the prices of its cars by up to Rs 1.2 lakh. This marks a historic moment as it is the first instance of a price cut by an electric carmaker in India.The decision to lower prices comes as Tata Motors aims to pass on the benefits of reduced battery prices directly to its customers.

The Passenger Electric Mobility (TPEM) division of Tata Motors will now offer the popular Nexon EV at a starting price of Rs 14.49 lakh, while the Long Range Nexon EV, with a range of 465 km, will start from Rs 16.99 lakh.
Additionally, the price of the electric small car Tiago has been reduced by Rs 70,000, now priced at Rs 7.99 lakh.

Vivek Srivatsa, Chief Commercial Officer at Tata Motors, said; the rationale behind the price reduction, citing the softening of battery cell prices and the potential for further reductions in the future. He emphasized Tata Motors' mission to accelerate the mainstream adoption of EVs by making them more accessible nationwide. Srivatsa highlighted that Tata Motors' portfolio already offers a diverse range of body styles, range, and price points for its smart and feature-rich EVs. He expressed confidence that the reduced prices would make the Nexon EV and Tiago EV even more attractive to a larger pool of customers.

The prices of the recently launched Punch EV remain unchanged, as they already account for anticipated reductions in battery prices in the foreseeable future, according to the carmaker.

Tata Motors, which introduced EV-only dealerships in September, has ambitious plans to expand its electric vehicle offerings. The company aims to have 10 electric cars in its portfolio over the next three to four years.

Furthermore, Tata Motors targets increasing EV sales to 25 per cent of its total car sales by 2025, up from 9.3 per cent in fiscal 2023.

In 2023, the EV segment witnessed remarkable growth, surpassing the growth rate of the passenger vehicle (PV) industry, with over 90 per cent growth.

This growth momentum has continued into 2024, with EV sales registering a staggering 100 per cent year-on-year growth in January 2024.

With over 70 per cent market share, TPEM asserts its leadership position in this fast-growing segment, solidifying Tata Motors' role as a front runner in India's evolving EV landscape.