Tata Motors to launch 12 new models: Will invest Rs 12,000 crore over next three years in India

Tata Motors will invest Rs 12,000 crore ($ 1.75 Billion) in India in the passenger car segment over the course of the next 3 years. A large part of this fresh investment will go towards meeting the demand for new vehicles from Tata Motors. Up to 12 new cars are expected to launch!

By: | Updated: July 10, 2018 5:17 PM
Tata Motors' line up of new vehicles will not only have new platforms but will also benefit from Tata's new Impact 2.0 design language!

12 new Tata Cars, the first of which will be the H5X which will launch in 2019Driven by a recent growth spurt, Tata Motors will invest Rs 12,000 crore ($ 1.75 Billion USD) in India in the passenger car segment over the course of the next 3 years. A large part of this fresh investment will go towards meeting the demand for new vehicles from Tata Motors. In order to meet the production demands for these vehicles, the plans involve adding a new manufacturing line at their plant in Chakan in Pune. The plant will be restructured to manufacture the new Tata Omega platformed Vehicles that will be built in the next five years. There is word of at least 12 new models, both electric and ICE (Internal Combustion Engine), to be built around these platforms.

The first new manufacturing line has already been installed in Tata Motors’ Pune plant and is designed to manufacture the Omega platform to manufacture the Q5 range of vehicles. The Q5 range of vehicles will include the much awaited H5X SUV based on the Land Rover Discovery platform, the H5X SUV will be launched by early next year in a 5-seat layout, with a 7-seater H5X is likely to follow. The other new platform from Tata Motors is slated to be the Alfa or X4 architecture, which will make its debut on the 45X hatchback ahead of the festive season in 2019. Both the 45X and H5X made their first public appearance at the Auto Expo 2018 where they received a lot of attention and public interest.

Tata 45X also made its debut at the Auto Expo 2018; The new hatch is expected by the end of 2019

These expansion plans are centred around Tata's Turnaround 2.0 strategy, which focuses largely on the Passenger Vehicles segment, and is driven by the strong 15-20% growth over the last two years. Tata Motors intends to boost this by increasing their presence across segments to the tune of 95%, allowing the company to target all key segments in the space.

Their Turnaround 2.0 strategy is based on three strategic pillars that apply across their range of private as well as future commercial vehicles. Through this, Tata Motors aims to win decisively in terms of commercial vehicles, while they aim to be a more profitable business in terms of their private vehicle division. Overall, Tata Motors intends to embed this new vigour (turn around) into the company culture and its employees. Building on these three pillars, Tata Motors also wants to create “Consistent, Competitive and Cash Accretive” growth by bringing new customers, building profitability by increasing the efficiency of their operations as well as their capital productivity. The first glimpse of this strategy came into the spotlight when the company announced that they would put their RaceMo 2-seater race car project up for sale in the interest of streamlining.

Tata E-Vision: The First Tata Electric Car concept will set the benchmark for future Tata EVs

Also Read: Our story debunking fake news around Tata's E-Vision Concept

The final and perhaps most important area that Tata will be looking at, is building their brand image through growth in their existing service and dealer network. According to Tata Motors, this new drive will help them to not only to transfigure network infrastructure so that it blends seamlessly with their changing corporate identity and customer preferences but also cover emerging markets inside the country.

Having achieved rank 2 in 2017 JD Power CSI Study Tata Motors intends to continue building trust with their existing customer through added channel engagement, infrastructure, and manpower. Collectively, through these initiatives and strategies Tata Motors aims to achieve 10% market share in the years to come, from the 6% per cent share they hold currently.


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