Tata JLR plans to build its first electric car in Austria

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Jagur Land Rover (owned by Tata Motors) is set to build it’s first electric car in Austria with plans of going into production early next year. Marking their debut into the electric vehicles segment, initial production will be limited to 10,000 cars a year.

This move to electric vehicles comes in as a part of sidestepping from the looming European Union emission fines. With almost all major car manufactures racing to produce hybrid and electric cars, to reduce the emission of carbon dioxide, a mass market accepted electric vehicle that is light on the consumers pocket is where the general target is. Tata group bought JLR from Ford for $2.3 billion in 2008, and after selling almost half a million cars till now. The firm is also exploring options to open a factory in America. Tata JLR’s decision to start production in Austria is part of their plan to expand its worldwide manufacturing reach.

This move by JLR to produce electric cars is in line with the Conglomerate’s plan to tap into the emerging EMO industry. Earlier Tata Motors Limited had revealed its plan to build an electrically driven compact car, Tata Indica Vista Electric. The concept model was showcased at Delhi Auto Expo 2010 and also at the 79th Geneva Motor show, however no further announcements were made on this.

Tata Indica Vista Electric

Tata Group is also planning to launch the electric version of its most popular light truck Ace next financial year thus becoming the first manufacturer to do so in the country. The company has the research and development focused in Europe not only because of the advancement in technology but also the government’s policy to support these kinds of initiatives by giving several incentives to electric car manufacturers. On the contrary the lack of intervention by the Indian government in the electric vehicle manufacturing has led to the closure of several manufacturers in the electric two wheeler industry recently.

India’s automobile industry has huge market potential and that is reason why all major manufacturers have production facilities in India, but India has only one electric car, which is being manufactured by Mahindra and Mahindra under the Reva brand.