The West Asia crisis, war between the US, Israel, and Iran, has played a key role in the acceleration of electric mobility in India, shifting the market from a push mode to a pull mode, believes Tata Motors Passenger Vehicle Ltd.'s Managing Director and CEO Shailesh Chandra. He also believes that EV penetration in the Indian passenger vehicle market is expected to be 7-8% in FY27 and will cross 10% in FY28.
While speaking on the sidelines of the launch of the Tata Sierra EV, the all-electric iteration of the Tata Sierra SUV, which was launched on Tuesday at an introductory price ranging between ₹18.79 lakh and ₹24.79 lakh (ex-showroom), Chandra said that while the entry of multiple players in the Indian EV segment and the breaking of barriers across subsegments such as pricing, range anxiety, and charging infrastructure have helped the growth of electric mobility in the country, the West Asia crisis has also played a significant role in accelerated growth of the category. "Around the Middle East crisis, there has been a faster acceptance. I would say, if the same customers were reluctant before, say, February 2026, they are now more amenable to considering an EV," PTI quoted Chandra as saying.
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He reportedly also said that the crisis in the Middle East has shifted the market from a push mode to a pull mode, and therefore, that is also definitely a force multiplier or a catalyst to the already growing EV industry on the back of some strong products and on the back of multiple players coming into this segment. The Tata Motors top official added that the fuel price increases, and even in some cases fear of non-availability of fuels, had made consumers consider electric vehicles, especially in the entry-level passenger vehicle segment, where total running cost is a big consideration. "EV is an industry which has transitioned from early adopters to mainstream, and now electric vehicles are becoming more and more mainstream," Chandra reportedly said, while adding that, for the ongoing FY27 fiscal, EV penetration in the Indian PV segment is expected to be around 7-8%, up from 4.5% in FY26, and is likely to cross 10% in FY28.
{{/usCountry}}He reportedly also said that the crisis in the Middle East has shifted the market from a push mode to a pull mode, and therefore, that is also definitely a force multiplier or a catalyst to the already growing EV industry on the back of some strong products and on the back of multiple players coming into this segment. The Tata Motors top official added that the fuel price increases, and even in some cases fear of non-availability of fuels, had made consumers consider electric vehicles, especially in the entry-level passenger vehicle segment, where total running cost is a big consideration. "EV is an industry which has transitioned from early adopters to mainstream, and now electric vehicles are becoming more and more mainstream," Chandra reportedly said, while adding that, for the ongoing FY27 fiscal, EV penetration in the Indian PV segment is expected to be around 7-8%, up from 4.5% in FY26, and is likely to cross 10% in FY28.
{{/usCountry}}Tata is betting big on Sierra EV
Tata Motors currently holds the lion's share in the Indian electric passenger vehicle market. The homegrown auto giant sells a wide range of electric cars across different price points. The range of Tata electric cars includes Tiago EV, Tigor EV, Punch EV, Nexon EV, Curvv EV, Harrier EV, and the latest Sierra EV.
Commenting on the Sierra EV, the Tata official said that it falls in the premium mid-SUV segment, which is one of the fastest-growing segments in the PV industry. "As India is gearing up for its prime electric era, the Sierra EV is a car that fits every lifestyle beautifully," Chandra said, while also adding that the mid-SUV segment lies in the sweet spot of practicality, premiumisation, and accessibility. The cars selling at this price point are just sitting around that sweet spot of ₹15 lakh, slightly on the right side of the industry median of ₹12 lakh, Chandra said.