NEW DELHI: Tata Group Chairman N. Chandrasekaran expects the automotive business, including passenger and commercial vehicles, to grow to $100 billion in the next five years with a capex target of Rs 40,000 crore in the domestic business and about 20 billion British pounds for JLR.
"I want to say that both companies (Tata Motors Passenger Vehicles and Tata Motors) have got very ambitious targets. The next five years (till FY31) the Tata Motors Passenger Vehicles company, including Jaguar Land Rover (JLR), will target a sale of $60 billion with JLR contributing about $45-50 billion and Tata Motors, domestic business, contributing about $15 billion," Chandrasekaran told shareholders at the company’s Annual General Meeting. The remaining $40 billion will come from the CV business.
He has estimated that the combined profit will be in excess of $5 billion. Chandrasekaran said TMPV will continue to focus on launching products that are aspirational for today's consumer. The company has entered FY27 with confidence, a strong pipeline of new products and powertrains, both in Tata Motors' Passenger Vehicles as well as in Jaguar Land Rover, Chandrasekaran said, adding that JLR has a series of launches coming up in the second half of this year.
Responding to shareholders' queries at the 81st Annual General Meeting of TMPV held virtually, he said the EV market share target will remain at 40-45%. It is around 42% at present. He also said that TMPV is targeting annual sales of more than 1.2 million units and a 20% market share by FY30.
“Between FY20 and FY30, we want to achieve a 10x growth in volumes with an ambition of 1.2 million-plus vehicles and a 20% market share,” said Chandrasekaran. He also said that the successful commencement of the operations of the TML PV and JLR facility in Tamil Nadu also represents a very significant milestone.
Further, he stated that the demerger of passenger vehicles and commercial vehicles businesses and creating them into two separate listed entities, is a "very decisive step" and not just a structural milestone in the company's journey to build a differentiated, future-ready, world-class personal mobility enterprise with not only a strong presence in India but a global footprint through Tata Motors as well as JLR.