Tata Motors Passenger Vehicles Limited (TMPV) has reported a remarkable 81% month-on-month surge in October 2025 shipments, with the newly demerged entity dispatching 74,705 units to dealers compared to 41,151 units in September 2025. The significant jump reflects the sustained impact of GST 2.0 reforms, festive season demand, and the company’s aggressive product push following its historic corporate restructuring.
The October performance represents a near doubling of August 2025’s 38,286 units, signaling robust momentum as the company enters the crucial year-end period. This growth trajectory comes at a critical juncture, with TMPV now operating as an independent listed entity focused exclusively on passenger vehicles, electric mobility, and the Jaguar Land Rover portfolio following the demerger that became effective October 1, 2025.
September’s Record-Breaking Performance Sets the Stage
September 2025 emerged as a watershed month for Tata Motors, with the company achieving record sales of 60,907 units, including domestic wholesales of 59,667 units, marking a substantial 47% year-on-year growth. The EV division achieved a historic milestone with shipments surging 96% to a record 9,191 units, powered by the successful launch of the Harrier EV and continued strong demand for the Punch and Nexon EVs.
The Nexon compact SUV emerged as a star performer during this period. Strategic price cuts following GST revisions and festive promotions propelled Nexon to unprecedented monthly shipments of over 22,500 units, marking the highest-ever single-model dispatch for Tata Motors. CNG sales also reached an all-time high of over 17,800 units, reflecting a remarkable 105% growth compared to the previous quarter.
In September 2025, Tata Motors reclaimed the second position in retail sales according to Vahan data, edging ahead amid intense competition in India’s auto rankings. TMPV captured 14.1% market share versus Maruti Suzuki’s 42% and Hyundai’s 13.2%, with Mahindra trailing at 13.8%.
Year-on-Year Comparison Reveals Dramatic Turnaround
While detailed October 2024 sales data for TMPV as a standalone entity is not directly comparable due to the recent demerger, historical data from Tata Motors’ combined operations provides important context. In October 2024, the passenger vehicle business recorded 48,423 units, including 5,355 electric vehicles, representing a marginal year-on-year decline.
The company faced significant headwinds throughout much of 2024, experiencing four straight months of sales decline from June to September 2024, with flat sales in the festival month of October as demand plateaued. The turnaround in 2025, particularly in the third quarter, marks a significant reversal of this trend. October 2025’s 74,705 units represents a substantial 54% improvement over the comparable October 2024 figure, demonstrating the effectiveness of the company’s strategic initiatives.
Electric Vehicle Momentum and Competitive Pressure
The electric vehicle segment has emerged as a crucial growth driver for TMPV. After two quarters of sales decline, Tata EV sales bounced back in Q3 2025 (July-September) with 24,855 units sold, up 59% year-on-year. The January-September 2025 cumulative sales of 57,022 units already represent 83% of the company’s full-year 2024 total, positioning TMPV to potentially cross 100,000 annual EV sales.
However, competition is intensifying. JSW MG Motor India and Mahindra & Mahindra have launched new EVs and currently have a combined retail market share of 49% for the first nine months of 2025, putting pressure on Tata Motors’ historically dominant position. The company, which previously commanded over 75% of the e-PV market, has seen its share consolidate as the market matures.
On the retail sales front, as per Vahan data, Tata Motors sold 48,547 electric units between January and September 2025, including best-ever monthly retails of 7,438 units in August. The recent launch of the Harrier EV has added a premium electric SUV option to a portfolio that already includes electric versions of the Punch, Nexon, Curvv, Tiago, and Tigor.
Strategic Outlook
TMPV faces both opportunities and challenges ahead. The company has announced a mega Rs 35,000 crore investment plan aimed at regaining lost e-PV market share with a goal of holding a 50% share in the growing electric vehicle market. This strategy involves expanding presence in under-served segments while refreshing its core ICE portfolio.
Under the leadership of Managing Director Shailesh Chandra, TMPV has been aggressively optimizing channel inventory and ramping up production to meet surging festive demand. The company’s multi-powertrain strategy, encompassing petrol, diesel, CNG, and electric variants across its portfolio, has enabled it to capture diverse customer segments. In calendar year 2024, CNG volumes grew a substantial 77% with over 120,000 CNG vehicles sold.
The demerger structure, while adding complexity in the near term, is expected to unlock shareholder value by allowing each business to pursue focused strategies. With TMPV now operating independently, the company can dedicate resources and management attention exclusively to passenger vehicles and electric mobility, potentially accelerating innovation and market responsiveness.
As TMPV navigates this pivotal phase, the October 2025 performance demonstrates that the company has successfully maintained momentum despite the organizational restructuring. The coming months will be crucial in determining whether this growth trajectory can be sustained as festive tailwinds subside. With a robust product pipeline, strengthened multi-powertrain portfolio, and focused leadership under the new demerged structure, TMPV appears well-positioned to capitalize on India’s growing passenger vehicle market while defending its leadership in the electric mobility space.