Tata Motors – Expansion of Passenger Vehicles Business in Bhutan

Tata Motors is aggressively pushing its product portfolio across geographies. Recently In association with Samden Vehicles of Bhutan, Tata Motors have launched its New Forever range of passenger vehicles in Bhutan. Samden Vehicles Pvt. Ltd will be the authorized distributor of passenger vehicles in Bhutan and the product portfolio will include latest range of passenger vehicles, which includes new generation Tigor, Altroz, Tiago, Nexon, Harrier and Safari.

Tata Motors have designed New Forever range of passenger vehicles under Impact 2.0 design language, which offers superlative performance and provide best-in class safety standards. Vehicles are not only feature-rich but are also backed by superior technology

According to Mr. Mayank Baldi, who heads International Business of  Passenger Vehicles division within  Tata Motors has said  that  Bhutan is an important market for Tata Motors growth strategy. Chairman of the Samden Vehicles Mr. Ronrig Mutusang, is upbeat about the partnership and has said that New Forever Range provides best offers in terms of style, safety and value for money along with compliance with BS-6 emission norms, which are environment friendly and will help the Tata Motors product gaining wider popularity in Bhutanese market.

Tata Motors is continuously improving its product and has recently launched Tiago and Tigor with advanced iCNG technology. iCNG will help Tata Motors in strengthening its position in the CNG market and will empower customers in experiencing advanced CNG technology-based drive without any compromise. 

According to Mr. Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility, demand is rising for the mobility products which are economical as well as greener and emission friendlyTiago iCNG and Tigor iCNG are powered by the Revotron 1.2L BS6 engine and produces maximum power of 73PS, which is highest for any CNG car in this segment

To avoid pressure on margins, recently Tata Motors announced a marginal price hike on its passenger vehicles, with an average  increase of 0.9% across the products, depending on the variant and model.

On the Jaguar Land Rover front, Tata Motors is transforming Jaguar Land Rover, with a value creation approach, which intend to delivering quality and profit rather than focussing on volume.

Tata Motors have developed the Reimagine strategy, designed to address the key challenges facing JLR business. Company intends to simplified manufacturing operation and create the world’s most desirable luxury vehicles under the brands. The strategy is focussed to generate double-digit EBIT margins and positive cash net-of-debt by 2025. JLR will be an all-Electric Brand by 2025.

Tata Motors group have presence in 125 countries, with a network of 8,800 touch points. Group have assembly operations globally, including Bangladesh, Sri Lanka, Vietnam, Malaysia, South Africa, Tunisia, Nigeria, Ethiopia and have R&D centres in UK, Italy, India and South Korea. 

Tata Group is known for its Corporate Governance. Under the visionary leadership of Chairman N Chandra’s, Tata Motors have raised $1 BN from TPG Rise Climate along with Abu Dhabi’s ADQ for 11-15% stake in its electric-vehicle unit. The valuation stands around $9.1 bn. Tata Motors is working to become the torch-bearer for green mobility in the automotive space, creating a virtuous cycle of growth and generating strong returns for its shareholders.

Bureau Galactik Views

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