Tata Motors Introduces Altroz AMT for the First Time to Attract Premium Segment Buyers

Tata Motors, which derives a quarter of its premium hatchback sales from automatic variants, has introduced the first-ever AMT (Automated Manual Transmission) option in the Altroz. This addition complements the existing DCA (Dual-Clutch Automatic) and manual variants, further expanding the Altroz lineup.

According to the company, the launch is a strategic move to reinforce its presence in the premium hatchback market, where Tata has sold over one million units in the past three years. The success of AMTs has surpassed initial projections, particularly in cities where traffic congestion drives the preference for automatics, Shailesh Chandra, MD of Tata Motors Passenger Vehicles Limited, told Autocar Professional at the launch of the Altroz Facelift in Mumbai.

“By offering AMT as a cost-effective option, we’re catering to aspirational buyers who want modern features within a budget, thereby expanding the appeal of models like the Altroz. This strategic focus on AMTs positions us to capture a significant share of the automatic market, aligning with the evolving needs of India’s urban consumers,” he said.

As part of its multi-powertrain strategy—which includes petrol, diesel, and CNG options—Tata Motors is expected to introduce an AMT variant of the Altroz CNG, building on its existing AMT offerings in the Tiago and Tigor. This strategic focus on AMTs positions Tata Motors to capture a significant share of the market. AMTs are a strategic cornerstone for Tata Motors in the premium hatch segment due to their ability to deliver the convenience of an automatic transmission at a cost-effective price point. “At this stage, Tata Motors offers AMT exclusively with petrol powertrains, and CNG variants are not yet equipped with this technology. However, there’s growing demand for fuel-efficient and cost-effective vehicles in India’s price-sensitive market,” Chandra said.

While Chandra did not confirm the introduction of AMT in the Altroz CNG variant at this point, he acknowledged its appeal to buyers seeking both the convenience of an automatic and the economic benefits of CNG.

For many buyers, particularly first-time automatic users in urban environments plagued by heavy traffic, AMTs provide an accessible entry into automatic driving without the higher costs associated with advanced transmissions like Dual-Clutch Transmissions (DCT). These buyers, often new to the automatic experience, value the simplicity and affordability of AMT, which allows them to enjoy the ease of driving without needing the refined performance of a DCT.

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