Tata Motors investment for commercial vehicles development
Despite a challenging situation across commercial vehicle segments, Tata Motors is banking heavily on this sector and have assigned INR 1500 crores for fiscal year 2014-15 exclusively for the development of new technologies and launching of new commercial vehicles.
This figure of INR 1500 crores was also invested in the year 2013-14 and will continue this fiscal as well as Tata Motors concentrates on new products, fresh variants, facelifts, innovations and advanced technologies in their commercial vehicle lineup.
Despite going through severe slowdown where sales of trucks and buses are concerned, Tata Motors is eager to pump in fresh investment and is hopeful that the new government will bring in innovative policies to boost sales. Tata Motors domestic commercial vehicle sales dropped 49% to 23,990 units last month and the company hopes to use this added investment to strengthen their portfolio.
The company recently launched Prima LX under the Prima brand. This is a low priced truck series which is about 20% cheaper than the Prima range of trucks. Prima LX is priced between INR 18.5 lakhs and INR 32.5 lakhs while the company sells the Prima range of trucks for between INR 23 lakhs and INR 65 lakhs. The company is also looking to develop a new range of buses to cater to Jawaharlal Nehru National Urban Renewal Mission (JNNURM) requirements.
Tata Motors is also launching new variants of its LCV Ultra sometime during 2014-15. One variant of Ultra has already been launched and there will be 4 to 5 new variants coming in during the coming fiscal. The company is also working along with Cummins for a new series of engines which promises to be more powerful to be seen on board the Ultra LCV.