Tata Motors has announced a price hike across its passenger vehicles. Effective November 7, 2022, the weighted average increase will stand at around 0.9 per cent. The exact price will depend on the variant and model. Tata Motors mentioned that the company has been absorbing a significant portion of the increased costs. But, the steep rise in overall input costs has compelled it to pass on some proportion through this price hike.
Festive Season Gives A Major Boost In Sales
Festive season sales surge in car sales underscores a looming shakeup in India’s car market. Tata Motors Ltd. is now inching ever so closer to edging out Hyundai Motor India Pvt. from the No. 2 spot in the passenger car segment. Tata Motors’ sales for the passenger segment have risen for five straight months. The company continues to win shares from Hyundai and Mahindra & Mahindra Ltd. The maker of Nexon sports utility vehicles is averaging close to 45,000-50,000 units in FY23.
Tata Motors And Hyundai Figting Hard For The #2 Position
The gap with Hyundai, however, has been narrowing for nearly half a decade. Tata Motors’ share in India’s market for cars and utility vehicles doubled to 13.8 per cent as of March. The turnaround in fortunes is further driven by new launches and bestsellers like the Nexon. The demand is high for SUVs. And hence Tata Motors is catering to Indians’ preference for roomier vehicles with higher ground clearance with its range of SUVs. In the market dominated by Maruti Suzuki India, nearly 40 per cent of cars sold today in the country are SUVs.
Tata Motors, with a share of 14.3 per cent, came close to edging past Hyundai’s 14.7 per cent in the first half of fiscal 2023. In October, the sales figure stood at just 2,784 units short of overtaking the maker of the Creta SUV. So far this fiscal, Tata Motors trails by 15,339 units when compared to Hyundai India.
Also Read: Tata Motors dispatched 78,335 cars in October 2022.
