Tata Motors expects passenger vehicle sales to continue to grow, Managing Director explains the reason

tata, Tata Motors, Tata Safari, Tata Harrier, passenger vehicles, Tata Motors sales, Tata Nexon

Tata Motors expects passenger vehicle retail sales to continue to grow in the current quarter due to year-end demand. A senior company official gave this information. According to automobile industry body FADA, retail sales of passenger vehicles grew 32 percent year-on-year to 4,83,159 units in October due to festive demand. This year, during the 42-day festive period, this segment grew 7 percent year-on-year to 6,03,009 units. 

Tata Motors sales decline by 6 percent in the second quarter

However, retail sales of passenger vehicles declined by 19 percent to 2,75,681 units in September 2024. Tata Motors’ passenger vehicle sales declined 6 percent year-on-year from September. “In the third quarter, we expect retail sales to remain strong due to better demand during festivals and year-end. Industry wholesales may be lower than retail sales to reduce inventory ahead of the new year,” Shailesh Chandra, Managing Director, of Tata Motors Passenger Vehicles, said in a call with analysts. 

The company’s focus will be on increasing sales with the new model.

Shailesh Chandra said that the company will focus on increasing retail sales by introducing new models, which will also be supported by marketing campaigns. Tata Motors is planning to introduce new models including Harrier EV and Sierra EV in the next two years. Chandra said that strong retail sales in October helped reduce inventory to less than 30 days for most of the company’s dealers. He said that the inventory reduction would have significantly reduced the financial cost for the dealers. Chandra said that the company will continue its efforts to bring electric vehicles into the mainstream.