30 August, 2006
Tata Motors, India’s largest automobile company, plans to enter the Russian automobile market with a diverse range of small, medium and heavy trucks and buses. These products, designed specifically to cater to the Russian market, will be introduced over the next three years. Initially, the key offering will be the Light Commercial Vehicle (LCV) range, where Tata Motors has a strong presence in international markets like South Africa and the Middle East.
For the first time, at the Moscow Motor Show this year, Tata Motors is also showcasing its passenger car range.
Tata Motors hopes to sell about 6000 commercial vehicle units/year, over the next three years, and thereafter increase growth through new product introductions. The key focus markets for the company will be Moscow, St. Petersburg, Sverdolovskaya Oblast and Volgograd.
Mr P G Shankar, Head – International Business, Commercial Vehicle Business Unit, Tata Motors, says, ‘Russia is a focus market in Tata Motors’ global growth strategy. We have decided to enter Russia not just to sell our vehicles, but also to grow with our customers by offering the best value proposition, through both products and services. We are also exploring opportunities for investments in product development, marketing and even manufacturing. We have a long term vision and Tata Motors is here to stay in Russia.’
Mr Divyendu Kumar, Head – International Business, Passenger Car Business Unit, Tata Motors, says, ‘Russia is a market of strategic importance to Tata Motors. We are actively exploring the firming up of our plans to address this market not just by selling our products here, but also by participating in local industrial and economic enterprises on a long term basis. For the first time at the Show, Tata Motors is showcasing its passenger car range comprising the Indica Hatchback, Indigo Sedan and Indigo Station Wagon. Apart from being among the largest selling passenger car models in India, these models are well-established in chosen overseas markets and are well on the way to establishing themselves in European countries as well.’
Also on display are two concept cars – Tata Crossover, a crossover vehicle concept, and Tata Cliffrider, a Multi-Utility Lifestyle Vehicle concept.
In commercial vehicles, Tata Motors is displaying the diversity and range of its products. On display are the LPT 613 and LPT 1618 trucks, the Telcoline pick-up and the Novus tractor — which is being displayed for the first time in Russia.
The vehicles Tata Motors currently sells in Russia are, LPT 613 trucks, LP 613 buses and Telcoline pickups, which are supplied in SKD (Semi Knocked Down) and CKD (Completely Knocked Down) condition. Tata vehicles are sold through its three distributors — trucks are sold through Automobile & Motors of Ural (Amur) – Ekaterinburg; pick-ups through Samotlar NN – Nizhniy Novgorod; and buses through Volzhanin – Vogograd and Samotlar NN.
About Tata Motors
Tata Motors is India’s largest automobile company with revenues of US$ 5.5 billion in 2005-06. With over 3 million Tata vehicles plying in India, it is the leader in commercial vehicles and the second largest in passenger cars. It is also the world’s fifth largest medium and heavy truck manufacturer and the second largest heavy bus manufacturer. Tata cars, buses and trucks are already being marketed in several countries in Europe, Africa, the Middle East, South Asia, and South East Asia and in Australia. Tata Motors has been present in Europe over the past 10 years. The company acquired the Daewoo Commercial Vehicle Company, South Korea’s second largest truck maker, in 2004. In 2005, it acquired a 21% stake in Hispano Carrocera, the reputed Spanish bus and coach manufacturer. In 2006, the company set up a joint venture with Marcopolo, the Brazil-based global leader in body-building for buses and coaches. Tata Motors and the Fiat Group have recently signed a memorandum of understanding to establish an industrial joint venture in India to manufacture passenger vehicles, engines and transmissions for the Indian and overseas markets; Tata Motors already distributes and markets Fiat branded cars in India. Tata Motors has R&D centres in India, the UK, South Korea and Spain.
Tata Motors is part of the Tata Group which is one of India’s largest and most respected business conglomerates, with a leadership position in Engineering, Materials, Energy, Chemicals, Consumer Products, Services, and Communications and Information Systems with revenues in 2005-06 of $22 billion, the equivalent of about 2.9 per cent of the country’s GDP.
With over 220,000 employees across 93 operating companies, the Tata Group has operations in more than 40 countries across six continents, and its companies export products and services to 140 nations