Chinese EV makers gearing up to challenge Tata Motors' dominance in India

If MG Motor achieves the sales volume target, it would become the second-largest player in the segment with a market share of 20-24 per cent

Tata Motors, which dominates the electric passenger vehicles space in India with a market share of around 85 per cent, is likely to face challenges this year from two Chinese companies looking to acquire one-third of the domestic EV market, The Financial Express reported on Tuesday.

The Chinese-owned British brand MG Motor and China's biggest EV maker BYD are ramping up their operations to dent the Indian giant's dominance in the emerging sector.

The FE report said that MG Motor is targeting sales of 20,000-24,000 EVs this year and MG is set to launch a budget EV, expected to be priced in the range of Rs 10-15 lakh this year, followed by a refurbished ZS EV.

If MG achieves the sales volume target, it would become the second-largest player in the segment with a market share of 20-24 per cent.

Similarly, BYD, which entered the electric car space over a year ago with the launch of the E6, is now aiming to expand its footprint in the segment. It has launched the Atto 3 SUV in India, which is priced at Rs 35 lakh, more than double the Tata Nexon EV, India’s best-selling electric vehicle.

Sanjay Gopalakrishnan, senior vice president, of electric passenger vehicles, BYD India, said, “We have got close to 2,000 bookings for the Atto 3 and we have started deliveries too. With sales of 15,000 across three products, we are looking at a market share of 15 per cent by the end of this year.”

India’s electric passenger market closed last year at almost 50,000 units. This year the volume prediction is 75,000-100,000.

Meanwhile, the Mumbai-based Mahindra & Mahindra (M&M) too entered the EV market with its XUV400. The company has launched the electric SUV at an introductory price of Rs 15.99 lakh (ex-showroom).