Tata Group has set a target of $100 billion in automotive revenue by FY2031, chairman N Chandrasekaran said Wednesday, laying out an ambitious growth path for the conglomerate's largest business vertical. The automotive portfolio spans two listed vehicle makers—commercial and passenger—alongside its privately-held components unit. This goal marks a doubling of Tata's automotive business from $50 billion in revenue in FY26.
Revenue Breakdown and Targets
According to the source, Jaguar Land Rover (JLR) is expected to remain the single-largest contributor, generating $45-50 billion in revenue by the target date. Commercial vehicles, once combined with the pending Iveco acquisition, is projected to add a further $35-40 billion. The components unit contributed $2.5 billion in FY26.
| Segment | FY26 Revenue | FY31 Target |
|---|---|---|
| Jaguar Land Rover | $38bn (80% of PV) | $45-50bn |
| Commercial Vehicles (incl. Iveco) | $25bn (combined) | $35-40bn |
| Components (privately-held) | $2.5bn | Not specified |
| Total Automotive | $50bn | $100bn |
In FY26, passenger vehicles generated $38 billion—with JLR accounting for 80% of that—and commercial vehicles on a standalone basis generated $9.5 billion. Including Iveco, the combined CV figure was $25 billion.
Capital Investment Plan
Underpinning the targets is a heavy capital commitment. Tata plans to invest Rs 40,000 crore in its domestic passenger vehicle business over the next five years, alongside £20 billion at JLR over the same period, as it pushes ahead with new model launches and electrification. In commercial vehicles, capital expenditure will run at 2-4% of annual revenue, with roughly 55% of that spend earmarked for future technologies.
- Domestic PV: Rs 40,000 crore over five years
- JLR: £20 billion over five years
- CV: 2-4% of revenue capex; 55% for future tech
Profit Ambition
Chandrasekaran said the automotive business is also targeting $5 billion in profit by FY2031, a marker that would place Tata's operations among the more profitable diversified auto groups globally if achieved.
Implications for Manufacturing Supply Chain
For manufacturing executives and procurement professionals, the scale of investment signals sustained demand for components, tooling, and automation equipment across India and the UK. The Iveco acquisition, targeted to close in Q2 FY27, will integrate Italian truck manufacturing into Tata's commercial vehicle network, likely requiring supply chain consolidation and capacity alignment. The heavy capital deployment at JLR—£20 billion over five years—points to continued investment in electric vehicle platforms and production lines, which will ripple through the Tier-1 and Tier-2 supplier base. Plant managers and sourcing directors should monitor Tata's capex allocation for opportunities in new model programs and technology upgrades.
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