Pent-up demand to drive 5% PV growth in FY26: Tata Motors

Tata Motors is optimistic that passenger vehicle (PV) volumes will accelerate on the back of pent-up consumer demand even after the end of the festive season. According to a PTI report, Tata Motors PV MD & CEO Shailesh Chandra expects industry volume growth of nearly 5% in FY26, with double-digit expansion anticipated in the second half of the year.

PV volume declined 1.6% year-on-year during April–September, but rebounded during the festive period. Chandra said sales are projected to grow in double digits between October and March, with full-year volumes likely to close around 5% growth.

On future strategy, Chandra said Tata Motors will focus on lean inventories and maximise retail through new product launches and stronger marketing campaigns to enhance brand visibility.

“We will drive strong volume growth on the back of new product launches that will strengthen our portfolio,” he said.

He highlighted that the upcoming Sierra could be a key driver for both volume growth and profitability, while petrol variants of the Harrier and Safari are set to expand Tata Motors’ addressable market and unlock volume in key regions.

Commenting on electric mobility, the company said it will continue to strengthen its EV portfolio through faster product roll-outs and market expansion.

“As we grow our volumes, we will enhance profitability through operating leverage, improved mix with new launches and GST impact, and we will accelerate our cost reduction efforts,” Chandra added.