Tata Passenger Electric Mobility Ltd (TPEM), a subsidiary of Tata Motors has announced a significant reduction in the prices of its popular EV models, the Nexon.ev and Tiago.ev. This move aims to make EVs more accessible to Indian customers by passing on the benefits of reduced battery prices.
Tata EV Price Reduction:
- The Nexon.ev sees a price drop of up to ₹1.2 lakh. The base variant now starts at ₹14.49 lakh and the Long Range with the bigger battery pack starts at ₹16.99 lakh.
- The Tiago.ev now starts at a price of ₹7.99 lakh, with a reduction of up to ₹70,000/-
The recently launched Punch.ev has already factored in the reduced battery cost in its introductory price. Hence, there is no price change for the Punch.ev. We tried reaching out to Tata to see why the benefit was not passed to the Tigor.ev, but there was no response.
Mr. Vivek Srivatsa, Chief Commercial Officer at TPEM, highlighted the significance of the reduction, stating, “Battery costs constitute a substantial portion of an EV’s overall cost. With recent softening in battery cell prices and the potential for further reductions in the future, we are proactively passing on these benefits directly to our customers.”
Srivatsa emphasized TPEM’s mission to accelerate the mainstream adoption of EVs by enhancing their accessibility across the nation. He noted the diverse portfolio of TPEM, offering a wide range of body styles, ranges, and price points for smart, feature-rich EVs. With these reduced prices, the Nexon.ev and Tiago.ev become even more attractive options for a broader customer base.
EV Price Reduction
While the prices of the ICE cars are going up, their EV counterparts are experiencing a price cut. Recently, Mahindra launched their XUV400 in EL and EL Pro variants at a reduced price. MG too reduced the prices of the Comet EV and the ZS EV. The fierce competition will work in the favor of EV buyers.
The EV segment has experienced robust growth, significantly outpacing the overall passenger vehicle industry. In CY2023, EV sales surged by over 90%, contrasting with the 8% growth recorded by the PV industry. This trend has persisted into CY2024, with EV sales registering a remarkable 100% year-on-year growth in January 2024. TPEM, commanding over 70% market share, stands as the market leader in this rapidly expanding segment.