Tata Motors advocates targeted fiscal support to sustain entry-level electric vehicle sales. Recent GST reforms slashed petrol car prices, heightening competition for cost-conscious buyers. CEO Shailesh Chandra emphasized the need during a PTI interaction.
Affordability Pressures Mount
Entry-level EVs struggle as petrol vehicles gain price edges from policy tweaks. Chandra noted GST changes revived passenger vehicle demand but squeezed EV value propositions. Broader measures like repo rate cuts aid recovery yet highlight EV-specific gaps.
PM E-DRIVE Extension Calls
Tata seeks incentives for electric cars in fleets under the PM E-DRIVE scheme beyond March 2026. This targets mounting pressures in the lower market segment. Such support could enhance accessibility and drive adoption.
Industry Recovery Context
Government interventions last year boosted demand across segments. EV growth moderates, especially in two-wheelers, per retail trends. Budget 2026 offers a pivotal chance to balance incentives with manufacturing localization.
