Tata Motors is aiming for price parity with Chinese electric vehicle (EV) manufacturers in India within the next 12 to 18 months as it prepares to expand its EV portfolio globally, a senior company executive stated on 16th September, according to media sources.

At a new-energy transition summit, Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles Electric Mobility, acknowledged the cost advantage held by Chinese automakers due to their integrated EV ecosystem.

"The Chinese players, with access to a robust ecosystem, are at an advantage in terms of cost structure because of scale and the benefits provided across the value chain," Chandra said. "It is expected that in the next 1-1.5 years, from a landed cost perspective - considering logistics and duties of around 15% - Tata Motors will reach cost parity with Chinese manufacturers."

Localisation

Chandra highlighted the importance of deeper localisation in India to enhance competitiveness. "Whether in semiconductors, components, or subsystems, preparations are underway to achieve that leap. Competing globally will require facing Chinese manufacturers directly," he observed.

Role of policy

He also emphasised the role of government policies in supporting EV adoption in India. "What has sustained this growth is policy stability - lower GST, tax benefits, and incentives from state governments," he said.

Tata Motors, India's largest EV manufacturer, currently offers a range of passenger EVs in the domestic market.