Tata Motors Bets Big On Capacity Expansion To Drive Future - Car Market Share From Current 13.4% To 20%

Ishita Sharma 2026-06-09

 

Tata Motors is currently the second-largest carmaker in the country by sales volume, holding a 13.4% market share. The company has been consistently expanding its product portfolio, while also accelerating updates across its existing range. This strong product push spans both its internal combustion engine (petrol, diesel, and CNG) offerings and its electric vehicle lineup.

Tata Motors has now set an ambitious target of increasing its market share to around 20% by 2030 across both its ICE and EV portfolios, aiming to capture one-fifth of India’s passenger vehicle market. To support this growth, the company plans to expand production capacity at its manufacturing facilities, enabling higher sales volumes of existing models while also creating room for upcoming product launches.

TATA Sales Breakup in May 2026 

Tata Motors Market Share Projections

We are only halfway through calendar year 2026, yet Tata Motors has already rolled out several key product updates, including the commencement of Sierra ICE deliveries and the launch of the Punch ICE facelift, Punch EV facelift, Tiago ICE facelift, and Tiago EV facelift. The company is also preparing to introduce electric versions of two of its most iconic nameplates—the Sierra EV and the Safari EV—further strengthening its EV portfolio.

Top 10 selling cars in May 2026 

At the company’s 2026 dealer business planning meeting, Tata Motors Chairman N. Chandrasekaran offered insights into the company’s future roadmap and investment strategy. He noted that India’s passenger vehicle market could expand to around 6 million annual units by 2030, presenting a significant opportunity for Tata Motors to grow its market share from current levels.

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No

Car Sales

May-26

May-25

Diff

Growth % YoY

% Share May 26

1

Maruti

1,90,337

1,35,962

54,375

39.99

43.18

2

Tata

59,090

41,557

17,533

42.19

13.40

3

Mahindra

58,021

52,431

5,590

10.66

13.16

4

Hyundai

47,837

43,861

3,976

9.07

10.85

5

Toyota

30,574

29,280

1,294

4.42

6.94

6

Kia

27,586

22,315

5,271

23.62

6.26

7

MG

6,048

6,304

-256

-4.06

1.37

8

Skoda

5,760

6,740

-980

-14.54

1.31

9

Honda

5,111

3,950

1,161

29.39

1.16

10

Renault

4,113

2,502

1,611

64.39

0.93

11

Nissan

2,948

1,354

1,594

117.73

0.67

12

Volkswagen

2,619

2,848

-229

-8.04

0.59

13

Citroen

525

333

192

57.66

0.12

14

Jeep

239

276

-37

-13.41

0.05

Total

4,40,808

3,49,713

91,095

26.05

100.00

 

Mahindra Car Sales May 2026

To achieve these goals, Tata Motors has earmarked an investment and expenditure outlay of ₹35,000 crore. The company aims to increase its annual passenger vehicle production capacity to 1.2 million units while securing around 20% of the Indian passenger vehicle market by 2030. For perspective, Tata Motors held a 13.4% market share in May 2026, with sales of 59,090 passenger vehicles during the month.

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