Tata Motors eyes 50% share in EV market rebound

Tata Motors aims to regain a 50% market share in the domestic electric passenger vehicle (EV) segment in the mid-to-long term.

Shailesh Chandra, managing director of Tata Motors Passenger Vehicle and Tata Passenger Electric Mobility, said the company is expanding its EV product portfolio to reach this goal.

Currently, Tata holds a 40%-41% market share, down from 55% last fiscal year due to reduced fleet sales and rising competition in the 12 lakh rupee (US$14,109) to 20 lakh rupee (US$23,515) segment.

In the 8 lakh rupee (US$9,406) to 12 lakh rupee (US$14,109) category, Tata maintains a strong 75% share with models like the Tiago.ev and Punch.ev.

However, in the 12 lakh rupee (US$14,109) to 20 lakh rupee (US$23,515) range, its share has dropped to 33-35% amid growing competition.

To address this, the company is strengthening offerings like the Nexon.ev and preparing to launch the Curvv.ev.

Tata also plans to enter the premium EV segment with the Harrier.ev and Sierra.ev.

🔗 Source: Press Trust of India

🧠 Food for thought

1️⃣ EV market leaders worldwide face similar market share challenges as competition intensifies

Tata Motors’ declining market share from 55% to about 40% reflects a trend affecting established EV manufacturers globally.

In the U.S. market, Tesla experienced a similar trend with its market share dropping from 49% to 43.5% in Q1 2025 as competition increased 1.

This pattern of market fragmentation is evident across global markets as traditional automakers and new entrants introduce competing models, with nearly 20 EV models now available in the Indian market according to the article.

The increased competition in the Rs 12-20 lakh segment mentioned by Tata’s MD highlights the industry-wide focus on mid-priced EVs, which analysts predict will be the fastest-growing segment globally as manufacturers target mainstream adoption 2.

For established market leaders like Tata Motors, maintaining dominance increasingly requires a multi-segment strategy covering various price points. This explains why the company is expanding both upward (with Harrier.ev and Sierra.ev) and focusing on strengthening its existing models.