Tata Sons Chairman, Natarajan Chandrasekaran, on Friday said that Tata Motors group will invest about Rs. 28,900 crore for Jaguar Land Rover (JLR) and domestic business in FY2022. As reported by PTI, the company also plans to raise capital separately for its electric vehicles (EV) business at an appropriate time. While addressing the company's virtual AGM, Chairman N Chandrasekaran said that the company is looking to have 25 per cent of its sales coming from EVs in the medium to long term, up from 2 per cent at present.
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Chairman N Chandrasekaran said that the company is looking to have 25 per cent of its sales coming from EVs in the medium to long term
Responding to a shareholder's query on the company's investment expenditure details, Chandrasekaran said, "For FY21 it was INR 19,800 crore. For FY22 the plan is INR 28,900 crore, that is basically 2.5 billion pounds for JLR on an annual basis and INR 3,000 crore to INR 3,500 crore for Tata Motors."
He also stated that the company is investing in hydrogen fuel cell vehicles. He said, "We are investing in hydrogen. And in fact, we got the first order from Indian Oil for 15 vehicles, and we have a lot of work going on in the hydrogen fuel cell area."
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He further added, "We already have produced seven such vehicles but we have orders for 15 vehicles but it is all in the trial stage and we need to have a long term plan. We are working on it."
"We will be launching at least 10 models before 2025. So, we have aggressive growth plans and towards that we will also do a capital raise for the EV segment alone at the appropriate time," he said, adding the company will also very soon launch an EV platform for the last mile commercial vehicles segment.
Replying to a query on Tata Motors' plans for EV components business, he said, "We are studying and that will have opportunities. In fact, we are also looking at setting up a separate battery (business) outside of Tata Motors."
Chandrasekaran also mentioned that the company is investing in hydrogen fuel cell vehicles
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On EV charging stations, he said, "We have plans to expand significantly on charging stations. Tata Motors is working with Tata Power and we are expanding to at least 25 cities and the goal is to have at least 1,000 charging stations in the coming years."
Speaking on the semiconductor shortage issue, Chandrasekaran said the company is looking at alternative sources and is making progress. He said, "In fact, some of the reasons why we are able to sell the cars at this stage and produce the EVs is primarily because of that. On JLR, we are looking at a number of options, including working directly with semiconductor manufacturers. Those discussions are on and the particular contracts with them are all being negotiated."
