However, its market share decreased from 73% to 62%. Going forward in 2025, Tata Motors will be launching the Harrier EV in the first half of the year and the much anticipated Sierra EV in the second half. These two models will help Tata Motors to take on the new EVs launched by Mahindra & Mahindra, Hyundai’s Creta Electric and Maruti Suzuki’s e Vitara. Srivatsa said that with more players joining the EV space, the category as a whole will grow significantly.
“Currently, EVs make up a little over 2% of the total passenger vehicle market. We need to surpass the 5-6% mark, and once that happens, the growth will accelerate rapidly. It is possible for the EV market to double its penetration this year.”
However, for the overall passenger (PV) vehicle market, he expects the growth rate to slow. “2025 is likely to be a challenging year for the PV industry. Over the past 3-4 years, the industry witnessed spectacular growth, but this year, that growth is expected to moderate, especially given the high stock levels across the network,” said Srivatsa. PVs grew by 4.2% in 2024 as compared to last year, with sales of around 4.3 million units.
For Tata Motors, Srivatsa said that sales growth this year will be led by EVs and CNG-powered vehicles. He added that their recently launched coupe SUV Curvv is performing “very well”. “It has a unique, differentiated design, and Indian consumers often take some time to fully appreciate innovative designs. I am confident that as the car becomes more visible on the roads, its sales will grow significantly,” he said.
