Rakesh Jhunjhunwala is betting on India’s most prized automobile company TaTa Motors. And TaTa Motor has been the winner in this Indian electric vehicle market as it has the highest market share in India. Rakesh Jhunjhunwala is confirmed about TaTa Motors triumph in the EV. He pointed out that valuation doesn’t play the most important part for a business but well sorted manufacturing facilities, clear plans for future, layed out design plans, etc. are the factors which are vital for automobile manufacturer’s success. Valuation is just a metric of the customer’s faith in the company.
He thinks Volkwagen, Mercedes and TaTa Motors will be the true winner in this electric race. He also mentioned that for success in India, the company needs to keep in mind that the cars should be customizable for Indian road conditions like flooding, potholes, etc.
On top these things the companies need to keep in mind that India is a cost conscious nation. People will look out for more government incentives and whether electricity will be cheaper in the long run.
TaTa Motors and Mahindra both sell electric cars in the market. World’s largest electric manufacturer, Tesla has reportedly registered in South India for production and sale of their electric cars. The most exciting part of this EV journey will be for electric part manufacturing startups. Even though many will argue that Maruti Suzuki has an advantage over the distribution network and total sales volume but they aren’t yet ready for electrifying their lineup.
India is attempting to both reduce its dependency on oil and improve its air quality. That is likely to spur a push into electric vehicles. Reuters said that India has the ability to provide $4.5 Billion in subsidy for EVs and the government’s aim to push the voluntary vehicle scrapping policy is also another big step for EVs.