Tata Motors says making EVs become cheaper as battery prices fall
- Electric vehicle sales in 2025 are expected to reach an all-time high level.


Tata Motors, which currently holds the lion's share in the Indian passenger vehicle market's EV segment said the cost of manufacturing electric cars has been declining due to cheaper batteries, narrowing the gap with internal combustion engine-powered vehicles which have been traditionally cheaper to make. Shailesh Chandra, Managing Director of the passenger vehicle and electric mobility business of Tata Motors said at the Bharat Mobility Global Expo 2025 that electric car prices are coming close to the pricing of internal combustion engine cars.
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Over the last few years, automakers such as Tata Motors, Hyundai, JSW MG Motor, Mercedes-Benz, Audi, BMW etc have launched a wide range of electric cars in the Indian market. Tata Motors introduced the near-production version of the Sierra EV and Harrier EV at the Auto Expo 2025 of Bharat Mobility Global Expo. Hyundai launched the Creta EV, which became one of the major attractions at the expo. Maruti Suzuki too unveiled the e Vitara, which is the brand's first-ever electric car. Interestingly, the biggest carmaker in India claims that it aims to become India's largest electric car manufacturer by 2026, threatening Tata Motors' pole position.
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Bloomberg has reported that in such a competitive situation, Tata Motors is ready to tackle a price war if needed in India’s nascent but rapidly growing EV market. Speaking on this, Chandra said that the fall in battery prices globally had levelled the cost structure for all automobile firms. “Why should not market double or even triple," he said, referring to EV sales outlook for 2025.
While electric vehicle sales in India have been growing at a steady pace, there are still some hurdles ahead of EV adoption. Two major hurdles in the way of EV adoption so far have been pricing and charging infrastructure. With new cost structures, electric vehicles can be priced lower while carmakers themselves have begun investing in charging infrastructure. Pointing to that, Chandra said that it is a positive development and should expand the market.
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