Tata Nexon, Tiago, Tigor success pushes Tata to invest Rs 7,000 cr on 12 new cars for India
Seeing success of Nexon, Tiago and Tigor, Board of Directors, Tata Motors approves the biggest ever investment plan.
Tata Motors’ Board has approved investments to the tune of Rs 7,000 crores ($1 billion) over the next three years. This investment is exclusively for the company’s Indian operations and is the largest investment done by Tata’s in the passenger vehicle business.
This investment will be directed towards the company’s two plants in Pune and Sanand for the Alpha and Omega platforms on which 12 new cars will be based.
Tata Motors is set to launch production version of the H5X concept (Tata Harrier) later this year, while the H7X is expected sometime next year, while the 45X hatchback is expected by 2020. The upcoming models will also include a C Segment sedan (Honda City rival) and a host of new models which will also include the facelift Tiago and Nexon and new Tata Safari over next few years.
Alpha platform is referred to as Advanced Modular Platform. It is the Tata 45X concept that will be the first to be positioned on this platform. Alpha platform is EV ready considering it was showcased on the Tata EVision concept on display at 2018 Auto Expo earlier this year.
The Omega platform is derived from Jaguar Land Rover’s D8 architecture on which the Land Rover Discovery Sport is positioned. It is on this same platform that Tata Harrier will be based while it is on this same Omega platform that the 7 seater H7X, set for launch early next year, will be positioned.
Investment plans come after Tata Motors has noted a 15-20 percent growth in car sales over the past two consecutive years following launch of Tiago, Tigor and Nexon. In June 2018, Tata Motors has reported a 54 percent increase in sales volumes to 56,773 units as compared to 36,836 units sold in June 2017.
Tata Motors Group reports global wholesales for June 2018 at 100,135 units, up 12 percent over June 2017. Global Tata Motors’ commercial vehicles and Tata Daewoo wholesales – 44,229 units, up 53 percent from June 2017.
Global wholesales of passenger vehicles in June 2018 are lower by 8 percent at 55,906 units. Global wholesales for Jaguar Land Rover were 37,490 vehicles (*JLR number for June 2018 includes CJLR volumes of 7,640 units). Jaguar sales accounted for 10,354 vehicles, and Land Rover for 27,136 vehicles.