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Tata Motors goes big bang with Rs 32,000-crore capex plan


has increased its capital expenditure for FY23 by 30% to `32,000 crore at a consolidated level riding on a strong recovery path with an improving supply chain scenario. This translates into an increase of `9,000 crore or £900 million over the FY22 spend of `23,000 crore.

The domestic entity will be making its highest ever investment of `6,000 crore in the current financial year to fund the expansion of its capacities across all its businesses — commercial vehicles, passenger vehicles and electric vehicles under both businesses.

Tata Motors’ UK arm Jaguar Land Rover (JLR) will be investing about

£2.6 billion or `26,000 crore. The company will use this money to accelerate its shift towards EVs across all businesses right from JLR, truck and bus, and car businesses. A part of the outlay will also go towards debottlenecking capacity and supply chains to deliver more cars.

Tata Motors Goes Big Bang with ₹32k-cr Capex Plan

From a demand perspective, the company is sitting on a record booking of over 250,000 units or `1 lakh crore of business, which needs to be delivered in the coming 6-9 months.

JLR is sitting on its highest-ever booking at 168,000 units, whereas the passenger vehicle business is a little over 75,000 to 100,000 units. Speaking to media post-March quarter earnings, Tata Motors group CFO PB Balaji said, “The businesses will be well funded to transition to the EV roadmap. We will be investing `5,500 crore to `6,000 crore for the domestic business and it will be used across CV, PV and EV businesses.”

The management informed that it is making all possible efforts to advance EV launches at JLR too. “Jaguar goes all-electric by 2025. 2024 onwards there will be half a dozen Land Rover BEVs (battery EVs)… we will try to bring forward the launches, if we are able to bring abreakthrough,” he added.



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