Tata Motors anticipates PV industry to exceed FY19 volumes this year
ROADS & HIGHWAYS

Tata Motors anticipates PV industry to exceed FY19 volumes this year

Tata Motors anticipates the domestic passenger vehicle industry to surpass the peak sales number of 34 lakh units achieved in financial year (FY) 2019 this year on the back of strong demand and fewer Covid-related disruptions that were seen in the last two years.

The company envisions a better business environment this FY, even as chip shortages continue to make it challenging to cater to the improved demand.

The auto major also listed an upsurge in commodity costs as a significant factor that could have a bearing on its profitability in the ongoing FY.

Tata Motors Managing Director Passenger Vehicle and Electric Vehicles Shailesh Chandra told the media that the company has seen various agencies, which are estimating volume towards a possibility of the industry exceeding the peak that has been witnessed in FY19 of 3.4 million units.

So as far as Tata Motors is concerned, certain electronic components will remain a challenge, but several actions are taken to mitigate this threat in terms of developing alternatives, additional resources, close coordination with semiconductor suppliers, and at times the open market cost, he said.

Chandra said that the firm is also taking significant measures to decrease cost structures across the organisation.

The company will continue to innovate and concentrate on value engineering, and nine levers have been identified to enhance profitability in the next financial year.

Chandra said that demand for electric vehicles (EVs) and compressed natural gas (CNG) models are growing in the domestic market due to a rise in fuel prices.

Chandra said the automaker is also going for certain capacity debottlenecking steps to unlock the next phase of development planned for this fiscal year.

With demand for EVs remaining very robust, the firm is fast ramping up the supplies.

The firm has already increased our supplies by about 3.5 times in the last six months. The company plans to roll out 10 EVs over the next five years, Chandra said.

Image Source

Also read: Tata Motors to boost EV production as demand increases

Tata Motors anticipates the domestic passenger vehicle industry to surpass the peak sales number of 34 lakh units achieved in financial year (FY) 2019 this year on the back of strong demand and fewer Covid-related disruptions that were seen in the last two years. The company envisions a better business environment this FY, even as chip shortages continue to make it challenging to cater to the improved demand. The auto major also listed an upsurge in commodity costs as a significant factor that could have a bearing on its profitability in the ongoing FY. Tata Motors Managing Director Passenger Vehicle and Electric Vehicles Shailesh Chandra told the media that the company has seen various agencies, which are estimating volume towards a possibility of the industry exceeding the peak that has been witnessed in FY19 of 3.4 million units. So as far as Tata Motors is concerned, certain electronic components will remain a challenge, but several actions are taken to mitigate this threat in terms of developing alternatives, additional resources, close coordination with semiconductor suppliers, and at times the open market cost, he said. Chandra said that the firm is also taking significant measures to decrease cost structures across the organisation. The company will continue to innovate and concentrate on value engineering, and nine levers have been identified to enhance profitability in the next financial year. Chandra said that demand for electric vehicles (EVs) and compressed natural gas (CNG) models are growing in the domestic market due to a rise in fuel prices. Chandra said the automaker is also going for certain capacity debottlenecking steps to unlock the next phase of development planned for this fiscal year. With demand for EVs remaining very robust, the firm is fast ramping up the supplies. The firm has already increased our supplies by about 3.5 times in the last six months. The company plans to roll out 10 EVs over the next five years, Chandra said. Image Source Also read: Tata Motors to boost EV production as demand increases

Next Story
Infrastructure Energy

Oil Prices Rise Amid Iran-Israel Tensions Despite Record U.S. Output

Oil prices increased due to reports that Iran was preparing a retaliatory strike on Israel from Iraq, although record output from the United States tempered these gains. Brent crude futures rose by 29 cents, or 0.4%, to settle at $73.10 a barrel, while U.S. West Texas Intermediate (WTI) crude gained 23 cents, or 0.3%, closing at $69.49. Both benchmarks had reached session highs of over $2 a barrel earlier in the day. Analyst Ole Hvalbye from SEB Research commented that any Iranian response might be restrained, similar to Israel's limited strike from the previous weekend, suggesting that such a..

Next Story
Infrastructure Urban

South and Southeast Asia to Invest Over $20 Billion in EV Development

A recent report by S&P Global Ratings projects that South and Southeast Asia will invest over $20 billion in electric vehicle (EV) development in the coming years, with India poised to attract significant EV-related investments. The report highlights India's vast market potential as a key driver for this growth. According to the report, the Tata and JSW groups are expected to invest over $30 billion in EVs and EV materials over the next decade, with approximately $10 billion allocated specifically for projects in South and Southeast Asia. The adoption of electric vehicles in India is anticip..

Next Story
Infrastructure Urban

India and Saudi Arabia Explore Collaboration in Emerging Sectors

India and Saudi Arabia are exploring partnerships in emerging fields such as fintech, new technologies, energy efficiency, clean hydrogen, textiles, and mining to strengthen trade and investment ties, an official statement revealed on Friday. The discussions took place during Commerce and Industry Minister Piyush Goyal's visit to Riyadh, where he co-chaired the second meeting of the Economy and Investment Committee under the India-Saudi Strategic Partnership Council (SPC) with Saudi Energy Minister Abdulaziz bin Salman Al-Saud on October 30. These sectors were identified as high-potential are..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000