Tata Motors CV Exports Surge 29.4% in Q4 FY25 Despite Dip in Domestic Sales

Strong Export Growth Offsets Weak Domestic Demand in Commercial Vehicles

Tata Motors has reported mixed results for its commercial vehicle (CV) segment in the fourth quarter of FY25. While domestic wholesale CV volumes declined by 4.8% year-on-year to around 100,000 units, exports witnessed a sharp 29.4% increase, reaching nearly 6,000 units.

The growth in exports was driven by renewed demand in key global markets such as South Asia, the Middle East, and Africa. These regions had previously experienced a prolonged slowdown post-pandemic but are now showing signs of recovery.

Key Highlights from Tata Motors’ Q4 FY25 CV Performance

• Domestic CV Sales: Fell by 4.8% YoY to approx. 100,000 units
   
• Exports: Increased by 29.4% YoY to nearly 6,000 units
   
• Export Growth Drivers: Recovery in demand from South Asia, Middle East, and Africa
   
• Focus Area: Revitalization of the Small Commercial Vehicle (SCV) segment
   
• Profitability: Improved CV profitability despite overall revenue decline
   

Market Dynamics and Positive Outlook

PB Balaji, Group CFO of Tata Motors, addressed the results and provided insights into the broader market environment. He noted that although domestic volumes remain below pre-slowdown levels, the trend is shifting in a positive direction.

“The growth is coming back,” Balaji stated, highlighting the company’s optimism for the upcoming quarters.

He elaborated on the key market drivers, saying that stable interest rates, steady pricing, low delinquencies, and mild steel inflation create a supportive environment for commercial vehicle demand.

CV Profitability on the Rise

Despite a drop in revenue this fiscal year, Tata Motors recorded an improvement in commercial vehicle profitability—possibly for the first time in 25 years. Balaji emphasized that profitability gains are a result of disciplined cost management and operational efficiencies.

“Stable interest rates, steady fuel prices, low delinquencies, and quiet steel inflation—all support a positive market environment,” he added.

Strategic Focus on SCV Segment

Looking ahead, the company plans to revamp the Small Commercial Vehicle (SCV) segment, which plays a crucial role in last-mile connectivity and urban logistics. The focus on SCVs aligns with Tata Motors’ broader goal to enhance volume and profitability in both domestic and export markets.

Long-Term Growth Vision

Balaji cautioned against reading too much into quarterly fluctuations, urging stakeholders to focus on long-term fundamentals. With signs of global market recovery and domestic stability, Tata Motors remains confident in the CV segment’s potential for sustained growth and market share expansion.

As demand rebounds and investments rise, Tata Motors is well-positioned to capitalize on the next growth phase in commercial mobility.

Follow us for Latest Truck Industry Updates

☞ Facebook - https://bit.ly/TruckFB

☞ Instagram - https://bit.ly/TruckInsta

☞ YouTube - https://bit.ly/TruckYT