MUMBAI: 25th May 2025: Tata Motors has reported in its annual report that it received a total of Rs 3458 crores in incentives from the Indian government in FY25, which is almost 16 percent more than the Rs 2871 crores it received in FY24. Additionally, the company disclosed that it received Rs 537 crores in PLI incentives.
In its annual report, Tata Motors stated, “In FY25, we recognised a PLI incentive of ₹527 crores upon receiving approval and funds for FY24, and we also accrued for FY25 based on TCA approval.”
Regarding the changing dynamics of India’s electric vehicle ecosystem, Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles Limited and Tata Passenger Electric Mobility Limited, said
“We became one of the few global manufacturers to attain positive EBITDA, driven by a higher level of localisation, aggressive cost reduction, and securing PLI benefits,” he added, referring to the company as the first to achieve positive EBITDA among global firms.
Looking ahead, Chandra affirmed that the business is confidently entering FY26 by relying on its strategy, which is based on execution strength and employee trust.
Additionally, he said that the company’s passenger EV business has sold over 200,000 units overall, covering over 5 billion kilometres and reducing CO2 emissions by over 700,000 metric tonnes, which is the equivalent of planting 30 million trees, according to Chandra.
Although it still leads the passenger electric vehicle market, Tata Motors is threatened by both domestic rivals and international volatility that has an impact on its business operations. Given the situation, Tata Motors’ top management said: “We are vigilant regarding global volatility, particularly the effects of shifts in international trade conditions.”
“The varying levels of electric vehicle adoption in different markets, along with advancing technologies, will expedite our production plans while providing value to our customers. I am confident in the future of our brands and the resilience of our business,” Chandra added.
Additionally, Girish Wagh, Executive Director of Tata Motors Limited, stated that the company is still investing in clean mobility when talking about the shift to electric vehicles and zero-emission technologies in the commercial vehicle sector.
Wagh informed the shareholders that in order to meet the needs of the Indian market and customers, “We are also actively exploring opportunities in software-defined vehicles, including the enabling vehicle architecture and technology stack.”
“Electric vehicles, CNG, LNG, and hydrogen are the main segments, guaranteeing our clients a range of environmentally friendly choices. We have made proactive investments in a range of control software and hardware components for electric vehicles, which will enhance the functionality and efficiency of our vehicles as they are introduced this year.”
Tata Motors’ overarching goals in the electric vehicle market are to improve customer satisfaction, achieve steady growth, and innovate for a future of mobility that is safer, cleaner, and more connected.
Top management claims that the company’s multi-powertrain strategy has enabled it to raise the proportion of CNG and electric vehicles to 36% of its total portfolio.
