New Cars and Bikes in India

Tata Motors Is Scouting For A New Partner For Car Business: Report

Tata Motors is looking at collaborating with an automaker to accelerate its growth plan for the next decade, which will offset huge investments while adapting to newer technologies, regulations and shorten product lifecycles, allowing the business to expand.

Tata Motors is actively looking for a new partner, according to Shailesh Chandra, President - PVBU expand View Photos
Tata Motors is actively looking for a new partner, according to Shailesh Chandra, President - PVBU

Highlights

  • Tata Motors is actively looking for a new partners for its PV business
  • The partnership aims to accelerate new vehicle development & offset costs
  • Tata Motors has not revealed timelines for the partnership

Tata Motors is actively scouting for a new partner for its passenger vehicle (PV) business, according to a recent report. The company is looking to collaborate with an automaker to accelerate its growth plan for the next decade. A partnership will help the Indian auto giant offset huge investments while adapting to newer technologies, regulations and shorten product lifecycles. Earlier this year, the Tata Motors board had approved to form a separate entity for its passenger vehicles business bringing the cars, electric vehicles and its relevant assets, employees and IPs under one umbrella. The new vertical would fully functional on a standalone basis. carandbike has reached out to Tata Motors for an official statement and will update this report when we get a response.

Also Read: Tata Motors Merges Electric And Passenger Car Entities; Announces New President

3jini2u

The new collaboration will help accelerate the growth of Tata's future products and shorten lifecycles

The report quotes Shailesh Chandra - President, Passenger Vehicles Business Unit (PVBU), Tata Motors, saying, "The whole purpose of subsidiarisation is to actively look for a partner because this is a reality for all of us that a collaboration can unleash a bigger potential in the next decade which is going to see significant investments in new technologies and regulations. The collaboration would also help in reducing product lifecycles and enhance new product launch intensity. All this requires huge investments and agility is also the key. So this is something which we are actively looking into."

With a paradigm shift in the mobilty sector from electric vehicles to shared mobility and beyond, automakers across the globe are collaborating to reduce development costs and achieve greater results. Globally, Ford, Toyota, Suzuki, Volkswagen, Daimler, Audi, BMW and more are working together on different technologies right from new vehicle platforms, autonomous driving, as well as charging solutions for the next generation of electric vehicles.

Newsbeep

Also Read: Tata Motors Achieves New Milestone Of Producing 4 Million Passenger Vehicles

Tata Motors though is tight-lipped about the automakers it is in talks with for a future collaboration. Speaking about timelines, Chandra said, "There are no specific timelines.. as far as subsidiarisation process is concerned, converting the business into a separate legal entity, we would like to accelerate in a year and as far as partner is concerned it is an active work which we will continue to work on."

umesc7bc

The launch of the Tata Tiago in 2016 marked a turnaround moment for the carmaker and its PV business

Credited to bring India's first indigenously developed car, the Indica, Tata Motors' journey has seen its share of ups and downs with hit and miss products. The company found its new growth trajectory nearly half a decade ago with the launch of the Tata Tiago that marked a new and renewed focus towards the PV segment for the company. It is now ushering into a new decade with two new platforms - ALFA and OMEGA - that will underpin the bulk of its future models.

Also Read: Tata Motors Refutes Reports About 49 Per Cent Divestment Of Its Passenger Vehicle Business

With respect to current sales, Chandra said that Tata Motors posted double digital growth in the first half of FY2021, despite the lockdown. This has helped the company achieve a market share of 7.9 per cent in the PV segment. Sales between the July and September quarter grew by 18 per cent.

uvrcltl8

Tata Motors has managed to register double-digit growth in the first half of FY2021 despite the lockdown

"A big part of it is pent up demand which has been a big factor for the growth. There was 20 per cent de growth last year because people wanted to wait for BS6 products leading to pent up demand in the last year itself. Further two months of lockdown this year has led to huge pent up demand," Chandra added. He further said that the demand will be sustained going further as the need for personal mobility rises.

0 Comments

"It remains speculative how the things would turn out to be beyond that and festive season because there is something offsetting these positive trends - pent up demand combined with personal mobility needs. It is the whole macro economic situation which is not witnessing growth, GDP is expected to see a 10 per cent decline. We will have to see the overall effect of that post the festive season. So far indications are that it will sustain," Chandra said.

For the latest auto news and reviews, follow carandbike.com on Twitter, Facebook, and subscribe to our YouTube channel.

You might be interested in

Tata Altroz

Hatchback, 18 - 25 Kmpl
Tata Altroz
Ex-showroom Price
₹ 5.44 Lakh
EMI Starts
₹ 11,293 9% / 5 yrs

Tata Nexon

SUV, 21.5 Kmpl
Tata Nexon
Ex-showroom Price
₹ 7 Lakh
EMI Starts
₹ 14,529 9% / 5 yrs

Tata Tiago

Hatchback, 23.84 Kmpl
Tata Tiago
Ex-showroom Price
₹ 4.6 Lakh
EMI Starts
₹ 9,549 9% / 5 yrs

Tata Harrier

SUV, 15 Kmpl
Tata Harrier
Ex-showroom Price
₹ 13.84 Lakh
EMI Starts
₹ 28,730 9% / 5 yrs

Tata Nexon EV

SUV, 312 Km/Full Charge
Tata Nexon EV
Ex-showroom Price
₹ 13.99 Lakh
EMI Starts
₹ 29,041 9% / 5 yrs

Tata Hexa

SUV, 14.5 Kmpl
Tata Hexa
Ex-showroom Price
₹ 12.99 Lakh
EMI Starts
₹ 26,965 9% / 5 yrs

Tata Nano

Hatchback, 21.9 Kmpl
Tata Nano
Ex-showroom Price
₹ 2.36 Lakh
EMI Starts
₹ 4,908 9% / 5 yrs

Tata Safari Storme

SUV, 13.9 - 14.1 Kmpl
Tata Safari Storme
Ex-showroom Price
₹ 11.08 Lakh
EMI Starts
₹ 23,006 9% / 5 yrs

Tata Tigor

Sedan, 17 - 21 Kmpl
Tata Tigor
Ex-showroom Price
₹ 5.39 Lakh
EMI Starts
₹ 11,189 9% / 5 yrs

Tata Tiago NRG

Hatchback, 23.8 Kmpl
Tata Tiago NRG
Ex-showroom Price
₹ 5.61 Lakh
EMI Starts
₹ 11,645 9% / 5 yrs

Tata Zest

Sedan, 17.6 - 23 Kmpl
Tata Zest
Ex-showroom Price
₹ 5.82 Lakh
EMI Starts
₹ 12,087 9% / 5 yrs

Tata Tigor EV

Sedan, 142 Km/Full Charge
Tata Tigor EV
Ex-showroom Price
₹ 9.54 Lakh
EMI Starts
₹ 19,807 9% / 5 yrs

Tata Tiago JTP

Hatchback, 24 Kmpl
Tata Tiago JTP
Ex-showroom Price
₹ 6.7 Lakh
EMI Starts
₹ 13,908 9% / 5 yrs

Tata Bolt

Hatchback, 17.6 - 23 Kmpl
Tata Bolt
Ex-showroom Price
₹ 5.08 Lakh
EMI Starts
₹ 10,550 9% / 5 yrs

Tata Tigor JTP

Sedan, 24 Kmpl
Tata Tigor JTP
Ex-showroom Price
₹ 7.59 Lakh
EMI Starts
₹ 15,756 9% / 5 yrs
Tata Tamo Racemo Front
Tata Tamo Racemo Front
Tata Tamo Racemo Front View
Tata Tamo Racemo Front View
Tata Tamo Racemo Reat
Tata Tamo Racemo Reat
Tata Altroz 90 Degree Opening Doors
Tata Altroz 90 Degree Opening Doors
Tata Altroz Alfa Arc
Tata Altroz Alfa Arc
Tata Altroz Alloy Wheels
Tata Altroz Alloy Wheels
Tata Nexon Abs
Tata Nexon Abs
Tata Nexon Backview
Tata Nexon Backview
Tata Nexon Front Grill
Tata Nexon Front Grill
Tata Tiago Alloy Wheel
Tata Tiago Alloy Wheel
Tata Tiago Chrome Garnished
Tata Tiago Chrome Garnished
Tata Tiago Contrast Black
Tata Tiago Contrast Black
Outer Mirrors With Logo Projection
Outer Mirrors With Logo Projection
Orcus White Dt Backview
Orcus White Dt Backview
Orcus White Dt Sideview
Orcus White Dt Sideview
Tata Nexon Abs With Ebd  Corner Stability Control
Tata Nexon Abs With Ebd Corner Stability Control
Tata Nexon Ev Charge Port
Tata Nexon Ev Charge Port
Tata Nexon Ev Compatible With Ccs 2 Fast Charging Standard
Tata Nexon Ev Compatible With Ccs 2 Fast Charging Standard
Tata Sumo Side View
Tata Sumo Side View
Tata Sumo Front View
Tata Sumo Front View
Tata Sumo Front Side View
Tata Sumo Front Side View
Chrome Pack
Chrome Pack
Tata Hexa Front
Tata Hexa Front
Tata Hexa Front View
Tata Hexa Front View
Tata Nano Side View
Tata Nano Side View
Tata Nano Front Side View
Tata Nano Front Side View
Tata Nano Boot
Tata Nano Boot
Tata Safari Storme Front 3 4th View
Tata Safari Storme Front 3 4th View
Tata Safari Storme Jumping View
Tata Safari Storme Jumping View
Tata Safari Storme Front Side View
Tata Safari Storme Front Side View