Tata Motors expects the Indian passenger vehicles market to touch 60 lakh units annually by 2030, and the company is targeting to increase its share to 18-20 percent by FY30 as it is gearing up to launch new models both in the conventional engine and electric vehicles segment, a top company official said on Wednesday. This growth will be driven by factors like rising disposable income and shorter vehicle ownership periods, he said, adding that the company also believes that the share of upgraders and additional car buyers will increase, and that has been the trend in the last few years and the first time buyer share has been reducing.
With the stricter CAFE III (Corporate Average Fuel Efficiency) norms set to kick in from 2027, the share of EVs and CNG vehicles will increase while internal combustion engine (ICE) vehicles will witness an inflationary trend, said Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility Managing Director Shailesh Chandra told reporters in a conference here.
"Going forward, we have taken note of future industry trends and how the growth will pan out in the next five to six years. We see multiple transitions happening in these five to six years," he said.
Based on data from various agencies, Chandra said, "We expect that the Indian auto industry (PV) would touch 6 million units by FY30, which basically would be a secular growth trend of 6 percent from now onwards-FY25 to FY30."
"The growing preference for SUVs and the intense launch actions that we expect in the SUV segment will keep the segment share of SUVs high, and it will happen at the cost of hatches and sedans," he said.
