Tata Motors aims to regain market share in e-buses without sacrificing long term viability or engaging in aggressive price competition.
Tata Motors will participate in the government’s upcoming tender for around 6,000 electric buses but will avoid aggressive bidding, opting instead for a cautious and financially disciplined approach, Managing Director and Chief Executive Officer Girish Wagh said.
Speaking to The Financial Express, Wagh said the company aims to regain ground in the electric bus segment but will not chase volumes at the cost of long term viability. “We will bid, but we will not get into a price war,” he said, stressing that winning tenders alone does not define success in the business.
He noted that the economics of electric bus operations depend on multiple factors including safety standards, depot management, receivables, penalties, uptime commitments and sustained operational discipline. “These are 12 year contracts, not one time sales, so you have to be very clear about what you are signing up for,” Wagh said, adding that Tata Motors’ experience of operating electric buses strengthens its position.
The 6,000 buses form part of the remaining tranche under the PM E-DRIVE and PM eBus Sewa programmes. Tata Motors did not secure orders in the most recent tender for 10,900 buses concluded in December, nor in earlier rounds, leading to a sharp fall in deliveries to 223 units in 2025 from 1,462 units a year earlier.
Wagh said the company has deployed over 3,600 electric buses across cities and expects bidding intensity to moderate as the market matures. Tata Motors has recently won smaller state orders, including a 200 bus contract in Chennai, and plans to participate in upcoming tenders such as Ahmedabad.
