Tata Motors to hike PV prices by up to 1.5% from July 1, second increase this year

Tata Motors Passenger Vehicles (TMPV) will increase prices across its passenger vehicle portfolio, including both Internal Combustion Engine (ICE) models and Electric Vehicles (EVs), by up to 1.5% from July 1, 2026, marking the company's second price hike this year as automakers continue to grapple with rising costs.

The price revision will be applicable across Tata Motors' entire passenger vehicle range, although the extent of the increase will vary depending on the model and variant. The company said the move is aimed at partially offsetting the impact of higher input costs and persistent inflationary pressures, while continuing to absorb a significant portion of the cost burden.

"The price increase is being undertaken to partially offset the impact of rising input costs and sustained inflationary pressures. While the company continues to absorb a significant portion of these increases, a part of the impact is being passed on to customers through this adjustment. The extent of the increase will vary across models and variants while ensuring that the overall value proposition of each offering is maintained," Tata Motors said in a statement.

Second price hike in 2026

The latest revision highlights the continued pressure on automakers' cost structures despite efforts to improve localisation, optimise supply chains and enhance operational efficiencies. Passenger vehicle manufacturers have increasingly relied on calibrated price increases over the past few years to protect profitability amid fluctuations in commodity prices, logistics expenses and input costs, according to an industry analyst.

The July hike comes barely three months after Tata Motors announced a price increase across its ICE passenger vehicle portfolio, effective April 1, 2026. At the time, the company had raised prices by an average 0.5%, citing rising input costs.

The latest increase is also not the first time the automaker has revised prices across both conventional and electric vehicle offerings. In January 2025, Tata Motors implemented a price hike of up to 3% across its passenger vehicle portfolio, including EVs, as part of its efforts to offset higher manufacturing costs.

The July 1 revision will apply to Tata Motors' broad portfolio spanning hatchbacks, sedans, SUVs and electric vehicles. As one of the country's leading EV manufacturers, the company continues to maintain a strong presence in India's fast-growing electric passenger vehicle market even as competitive intensity and cost pressures remain elevated across the automotive sector.