Tata Motors expects CNG, EV sales to grow by 20% in next 3-5 years

15 Feb 2022 CW Team

Tata Motors is expecting CNG cars contribution to increase up to 20% gradually in its total sales in the next three to five years as it expects higher entry-level petrol and diesel customers to choose for these models.

The auto major based in Mumbai is bullish on the electric vehicle (EV) segment having sales expectations of around 20% of their overall dispatches in the upcoming few years.

Tata Motors President Passenger Vehicle and Electric Vehicles Shailesh Chandra mentioned that he thinks the CNG segment is going to grow in the coming years. This will be a result of petrol, due to the ever-increasing cost of petrol as well as diesel.

The company, therefore, foresees a solid future growth for the same, given there’s a deeper penetration as well as expansion of the CNG outlets taking place across India.

Currently, the car sales (diesel) across the portfolio are at approximately 15%, and the petrol and CNG car sales are at approximately 66% and 12%, respectively.

In the upcoming three to five years, the petrol portfolio is expected to decrease by around 50%, diesel is expected to decrease by around 10%, and CNG is expected to increase by 20%. For Electric Vehicles (EV) the target set is an increase of 20%.

Tata is currently focusing on the segments of hatchbacks and compact sedans for the expansion of their CNG model range.

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Also read: Tata Motors expects growth momentum to continue in 2022

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