Tata Motors

Tata Motors
Tata Motors Limited
Type Public company
Industry Automotive
Founded 1945
Founder(s) JRD Tata
Headquarters Mumbai, Maharashtra, India[1]
Area served Worldwide
Key people P. M. Telang, (MD)
C. Ramakrishnan, (CFO)
Products Automobiles
Automotive parts
Services Vehicle leasing
Vehicle service
Revenue increase US$ 27.629 billion (2011)[2]
Profit increase US$ 1.653 billion (2011)[2]
Total assets increase US$ 23.131 billion (2011)[2]
Total equity increase US$ 4.683 billion (2011)[2]
Employees 53,151 (2011)[2]
Parent Tata Group
Subsidiaries Jaguar Land Rover
Tata Hispano
Website tatamotors.com

Tata Motors Limited (NSETATAMOTORS, BSE500570, NYSETTM) is an Indian multinational automotive corporation headquartered in Mumbai, India. Part of the Tata Group, it was formerly known as TELCO (TATA Engineering and Locomotive Company). Its products include passenger cars, trucks, vans and coaches.

Tata Motors is South Asia’s largest automobile company; it is the leader in commercial vehicles and among the top three in passenger vehicles. Worldwide it is the world's fourth-largest truck manufacturer and second-largest bus manufacturer.[2] It has auto manufacturing and assembly plants in Jamshedpur, Pantnagar, Lucknow, Sanand, Dharwad and Pune, India, as well as in Argentina, South Africa, Thailand and the United Kingdom. Tata Motors has produced and sold over 4 million vehicles in India since 1954.[3]

Established in 1945 as a manufacturer of locomotives, the company manufactured its first commercial vehicle in 1954 in a collaboration with Daimler-Benz AG, which ended in 1969.[4] In 2010, Tata Motors surpassed Reliance to win the coveted title of 'India's most valuable brand' in an annual survey conducted by Brand Finance and The Economic Times.[5]

Tata Motors is a dual-listed company traded on both the Bombay Stock Exchange and New York Stock Exchange.



Tata Motors is a part of the Tata Group manages its share-holding through Tata Sons. The company was established in 1950 as a locomotive manufacturing unit and later expanded its operations to commercial vehicle sector in 1954 after forming a joint venture with Daimler-Benz AG of Germany. Despite the success of its commercial vehicles, Tata realized his company had to diversify and he began to look at other products. Based on consumer demand, he decided that building a small car would be the most practical new venture. So in 1998 it launched Tata Indica, India's first fully indigenous passenger car. Designed to be inexpensive and simple to build and maintain, the Indica became a hit in the Indian market. It was also exported to Europe, especially the UK. Tata acquired Spanish bus and coach manufacturer Hispano Carrocera in 2009.[6] In 2006 it formed a joint venture with Marcopolo S.A. of Brazil, and introduced low-floor buses in the Indian Market under the name Tata Marcopolo Bus. Recently, it has acquired British Jaguar Land Rover (JLR), which includes the Daimler and Lanchester brand names.


  • In 2004 Tata Motors acquired Daewoo's truck manufacturing unit, now known as Tata Daewoo Commercial Vehicle, in South Korea.[7]
  • In 2005, Tata Motors acquired 21% of Aragonese Hispano Carrocera giving it controlling rights of the company.
  • In 2007, Formed a joint venture with Marcopolo of Brazil and introduced low-floor buses in the Indian Market.[8]
  • In 2008, Tata Motors acquired British Jaguar Land Rover (JLR), which includes the Daimler and Lanchester brand names.[9][10][11][12]
  • In 2010, Tata Motors acquired 80% stake in Italy-based design and engineering company Trilix for a consideration of €1.85 million. The acquisition is in line with the company’s objective to enhance its styling/design capabilities to global standards.[13]


The 2nd generation Tata Indica V2's excellent fuel economy, powerful engine and aggressive marketing strategy made it one of the best selling cars in the history of the Indian automobile industry.

After years of dominating the commercial vehicle market in India, Tata Motors entered the passenger vehicle market in 1991 by launching the Tata Sierra, a multi utility vehicle. After the launch of three more vehicles, Tata Estate (1992, a stationwagon design based on the earlier 'TataMobile' (1989), a light commercial vehicle), Tata Sumo (LCV, 1994) and Tata Safari (1998, India's first sports utility vehicle). Tata launched the Indica in 1998, the first fully indigenous passenger car of India. Though the car was initially panned by auto-analysts, the car's excellent fuel economy, powerful engine and aggressive marketing strategy made it one of the best selling cars in the history of the Indian automobile industry. A newer version of the car, named Indica V2, was a major improvement over the previous version and quickly became a mass-favorite. Tata Motors also successfully exported large quantities of the car to South Africa. The success of Indica in many ways marked the rise of Tata Motors.[14]


Hispano at the 2008 FIAA in Madrid

Tata Daewoo Commercial Vehicle

Tata Motors aimed to increase its presence worldwide. In 2004, it acquired the Daewoo Commercial Vehicle Company of South Korea. The reasons behind the acquisition were:

  • Company's global plans to reduce domestic exposure. The domestic commercial vehicle market is highly cyclical in nature and prone to fluctuations in the domestic economy. Tata Motors has a high domestic exposure of ~94% in the MHCV segment and ~84% in the light commercial vehicle (LCV) segment. Since the domestic commercial vehicle sales of the company are at the mercy of the structural economic factors, it is increasingly looking at the international markets. The company plans to diversify into various markets across the world in both MHCV as well as LCV segments.
  • To expand the product portfolio Tata Motors recently introduced the 25MT GVW Tata Novus from Daewoo’s (South Korea) (TDCV) platform. Tata plans to leverage on the strong presence of TDCV in the heavy-tonnage range and introduce products in India at an appropriate time. This was mainly to cater to the international market and also to cater to the domestic market where a major improvement in the Road infrastructure was done through the National Highway Development Project.

Tata remains India's largest heavy commercial vehicle manufacturer and Tata Daewoo is the 2nd largest heavy commercial vehicle manufacturer in South Korea. Tata Motors has jointly worked with Tata Daewoo to develop trucks such as Novus and World Truck and buses namely, GloBus and StarBus.

Hispano Carrocera

In 2005, sensing an opportunity in the fully built bus segment, Tata Motors acquired a 21% stake in Hispano Carrocera SA,[15] the leading European bus and coach cabin maker. In 2009, the company picked up the remaining 79% stake in Hispano Carrocera SA for an undisclosed sum, making it a fully owned subsidiary.

Jaguar Cars and Land Rover

After the acquisition of the British Jaguar Land Rover (JLR) business, which also includes the Daimler, Lanchester and Rover brands,[16] Tata Motors became a major player in the international automobile market. On 27 March 2008, Tata Motors reached an agreement with Ford to purchase their Jaguar Land Rover operations for US$2.3 billion. The sale was completed on 2 June 2008.[12]

In addition to the brands, Tata Motors has also gained access to two design centres and two plants in UK. The key acquisition would be of the intellectual property rights related to the technologies.

Joint ventures

Tata MarcoPolo released a low-floor bus in India and now it is widely used as public transport in Delhi, Mumbai,Pune, Chennai, Hyderabad, Bangalore, Chandigarh and Lucknow.

Tata Motors has formed a 51:49 joint venture in bus body building with Marcopolo of Brazil. This joint venture is to manufacture and assemble fully built buses and coaches targeted at developing mass rapid transportation systems. The joint venture will absorb technology and expertise in chassis and aggregates from Tata Motors, and Marcopolo will provide know-how in processes and systems for bodybuilding and bus body design. Tata and Marcopolo have launched a low-floor city bus which is widely used by Chennai, Coimbatore, Delhi, Mumbai, Lucknow, Pune, Kochin, Trivandrum and Bengaluru transport corporations. Its manufacturing facility is based in Dharwad.

Tata Motors also formed a joint venture with Fiat and gained access to Fiat’s diesel engine technology.[17] Tata Motors sells Fiat cars in India through a 50/50 joint venture Fiat Automobiles India Limited, and is looking to extend its relationship with Fiat and Iveco to other segments. Tata has also formed several JV's with many small companies in various countries around the world.

Important developments

Tata Nano

Tata Nano

In January 2008, Tata Motors launched Tata Nano, the least expensive production car in the world at about INR120,000 (US $3000).[18] The city car was unveiled during the Auto Expo 2008 exhibition in Pragati Maidan, New Delhi.[19]

Tata has faced controversy over developing the Nano as some environmentalists are concerned that the launch of such a low-priced car could lead to mass motorization in India with adverse effects on pollution and global warming. Tata had set up a factory in Sanand, Gujarat and the first Nanos were rolled out in summer 2009.

Tata Nano Europa had been developed for sale in developed economies and it hit markets in 2010 while the normal Nano had hit markets in South Africa, Kenya and countries in Asia and Africa by late 2009. A battery version is also planned.

Tata Ace

Tata Ace was India's first mini truck

Tata Ace, India's first indigenously developed sub-one ton mini-truck, was launched in May 2005. The mini-truck was a huge success in India with auto-analysts claiming that Ace had changed the dynamics of the light commercial vehicle (LCV) market in the country by creating a new market segment termed the small commercial vehicle (SCV) segment. Ace rapidly emerged as the first choice for transporters and single truck owners for city and rural transport. By October 2005, LCV sales of Tata Motors had grown by 36.6 percent to 28,537 units due to the rising demand for Ace. The Ace was built with a load body produced by Autoline Industries.[20] By 2005, Autoline was producing 300 load bodies per day for Tata Motors.

Ace is still a top seller for TML with 5 lakh units sold to date (June 2010).[21]

Ace has also been exported to several Asian, European, South American and African countries and all-electric models are sold through Chrysler's Global Electric Motorcars division.[22] In Sri Lanka it is sold through Diesel & Motor Engineering(DIMO) PLC under the name of DIMO Batta.

Compressed air car

Tata OneCAT

Motor Development International of France has developed the world's first prototype of a compressed air car, named OneCAT.[23] In 2007, MDI owner Guy Negre was reported to have "the backing of Tata".[23]

It has airtanks that can be filled in 4 hours by plugging the car into a standard electrical plug. In 2008 MDI planned to also design a gas station compressor, which would fill the tanks in 3 minutes.[24] There are no gasoline costs and no fossil fuel emissions from the vehicle when run in town, but "the compressed air driving the pistons can be boosted by a fuel burner".[24]

OneCAT is a five seat vehicle with a 200-litre (7.1 cu ft) trunk. With full tanks it is said to run at 100 km/h (62 mph) for 90 kilometres (56 mi) range in urban cycle. There are severe physical arguments pleading against those figures. In December 2009 Tata's vice president of engineering systems confirmed that the limited range and low engine temperatures were causing difficulties.[25]

Electric vehicles

Tata Motors unveiled the electric versions of passenger car Tata Indica and commercial vehicle Tata Ace. Both run on lithium batteries. The company has indicated that the electric Indica would be launched locally in India in about 2010, without disclosing the price. The vehicle would be launched in Norway in 2009.[26]

Tata Motors' UK subsidiary, Tata Motors European Technical Centre, has bought a 50.3% holding in electric vehicle technology firm Miljøbil Grenland/Innovasjon of Norway for US$1.93 M, which specialises in the development of innovative solutions for electric vehicles, and plans to launch the electric Indica hatchback in Europe next year.[27][28][29] On 17 Sept 2010 Tata motors presented to the DTC (Delhi Transport corporation). Four CNG – Electric Hybrid low-floored Star-buses to be used for Commonwealth games. These are the first Environmentally friendly buses to be used for public transportation in India.


The Tata Safari DiCOR is one of Tata's best selling vehicles in India and also has been fairly successful in the Mediterranean and Eastern Europe
Tata has tried to revamp all its models in order to satisfy the consumer
The purchase of Jaguar and Land Rover is expected to help give Tata Motors gain a foothold in the European and American markets.
Tata relies on its subsidiaries for sales outside India. Seen here is the Range Rover Sport.
Tata Xenon is Tata's best selling vehicle in Europe.

Tata in India

A loaded Tata truck on a Rajasthan highway

Tata Motors Limited is India’s largest automobile company, with revenues of INR35,651.48 crore (US$7.23 billion) in 2007–08.[30] It is the leader in commercial vehicles in each segment, and among the top three in passenger vehicles in India with products in the compact, midsize car and utility vehicle segments.[30] Tata vehicles are sold primarily in India, and over 4 million Tata vehicles have been produced domestically since the first Tata vehicle was assembled in 1954. The company’s manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka). Following a strategic alliance with Fiat in 2005, Tata set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat). Tata's dealership, sales, service and spare parts network comprises over 3500 touch points. Tata Motors also distributes and markets Fiat branded cars in India. [30]

Sales & Service Network

Tata Motors has more than 250 dealerships in more than 195 cities across 27 states and 4 Union Territories of India.[31] It has the 3rd largest Sales and Service Network after Maruti Suzuki and Hyundai.

Tata's global operations

Tata Motors has been in the process of acquiring foreign brands to increase its global presence. Through acquisition, Tata has operations in the UK, South Korea, Thailand and Spain. Among these acquisitions is Jaguar Land Rover, a business comprising two struggling iconic British brands that was acquired from the Ford Motor Company in 2008. In 2004, Tata acquired the Daewoo Commercial Vehicles Company, South Korea’s second largest truck maker. The re-branded Tata Daewoo Commercial Vehicles Company has launched several new products in the Korean market, while also exporting these products to several international markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo.

In 2005, Tata Motors acquired a 21% controlling stake in Hispano Carrocera, a Spanish bus and coach manufacturer.[15] Tata Motors continued its market area expansion through the introduction of new products such as buses (Starbus & Globus, jointly developed with subsidiary Hispano Carrocera) and trucks (Novus, jointly developed with subsidiary Tata Daewoo). In May, 2009 Tata unveiled the Tata World Truck range jointly developed with Tata Daewoo[32] Debuting in South Korea, South Africa, the SAARC countries and the Middle-East by the end of 2009[32] santhosh In 2006, Tata formed a joint venture with the Brazil-based Marcopolo to manufacture fully built buses and coaches for India and other international markets.[33] Tata Motors has expanded its production and assembly operations to several other countries including South Korea, Thailand, South Africa and Argentina and is planning to set up plants in Turkey, Indonesia and Eastern Europe.[30]

Tata also has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia and Senegal.[34] Tata has dealerships in 26 countries across 4 continents.[35] Though Tata is present in many countries it has only managed to create a large consumer base in the Indian Subcontinent, namely India, Bangladesh, Bhutan, Sri Lanka and Nepal. Tata has a growing consumer base in Italy, Spain and South Africa.


Passenger cars and utility vehicles

Tata Prima concept car
Tata Nano Europa
Tata Starbus Low Floor 1610
Tata Marcopolo buses in the Delhi BRT.
Tata Aria

Concept vehicles

Commercial vehicles

  • Tata Ace
  • Tata Super Ace
  • Tata TL/Telcoline/207 DI Pickup Truck
  • Tata 407 Ex and Ex2
  • Tata 709 Ex
  • Tata 809 Ex and Ex2
  • Tata 909 Ex and Ex2
  • Tata 1109 (Intermediate truck)
  • Tata 1512 (Medium bus chassis)
  • Tata 1612/1616 (Heavy bus chassis)
  • Tata 1618 (Semi Low Floor bus chassis)
  • Tata 1623 (Rear Engined Low Floor bus chassis)
  • Tata 1518C (Medium truck)
  • Tata 1613/1615 (Medium truck)
  • Tata 2515/2516 (Medium truck)
  • Tata Starbus (Branded Buses for city, inter city, school bus and standard passenger transportation)
  • Tata Divo (Fully built luxury coach)
  • Tata CityRide (12 – 20 seater buses for intra-city use)
  • Tata 3015 (Heavy truck)
  • Tata 3118 (Heavy truck) (8×2)
  • Tata 3516 (Heavy truck)
  • Tata 4018 (Heavy truck)
  • Tata 4923 (Ultra-Heavy truck) (6×4)
  • Tata Novus (Heavy truck designed by Tata Daewoo)
  • Tata Prima (The World Truck designed by Tata Motors and Tata Daewoo)

Military vehicles

  • Tata LSV (Light Specialist Vehicle)
  • Tata Mine Protected Vehicle (4×4)
  • Tata 2 Stretcher Ambulance
  • Tata 407 Troop Carrier, available in hard top, soft top, 4×4, and 4×2 versions
  • Tata LPTA 713 TC (4×4)
  • Tata LPT 709 E
  • Tata SD 1015 TC (4×4)
  • Tata LPTA 1615 TC (4×4)
  • Tata LPTA 1621 TC (6×6)
  • Tata LPTA 1615 TC (4×2)
  • Tata Winger Passenger Mini Bus

Tata Motors technology and design subsidiaries

Tata has dozens of technology and design subsidiaries. These include the main ones.

Telco Construction Equipment (TELCON)

TELCON is a joint venture between Tata Motors and Hitachi, which focuses on excavators and other construction equipment. and research work are done.

HV Transmission (HVTL) and HV Axles (HVAL)

HVAL and HVTL are 85% subsidiary companies of Tata Motors engaged in the business of manufacture of gear boxes and axles for heavy and medium commercial vehicles, with production facilities and infrastructure based at Jamshedpur.

Tata Technologies Limited (TTL)

TTL provides Engineering and Design (E&D) solutions to the Automotive Industry. Tata Motors holds 86.91% of TTL’s share capital. TTL is based in Pune (Hinjawadi) and operates in the US and Europe through its wholly owned subsidiaries in Detroit and London respectively. It also has a presence in Thailand. Tata Technologies is a software service provider in the IT services and BPO space. Its global client list includes Ford, General Motors, Toyota and Honda, to name a few. It bought over the British engineering and design services company, Incat International Plc for Rs.4 billion in August 2005. Incat specializes in engineering & design services and product lifecycle management in the international automotive, aerospace and engineering markets. With this acquisition, Tata Motors will have closer proximity to its global customers and be able to provide a wider range of services.

Tata Motor European Technical Centre

Tata Motor European Technical Centre is Tata's subsidiary based in the UK. It was the joint developer of the World Truck.[36]


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