TTM - Tata Motors sees short-term pressure due to increased battery cell costs

Tata Motors (NYSE:TTM), a key electric vehicle maker in India, anticipates some short-term pressure as a result of an ~20% rise in battery cell costs because of a global surge in raw material prices, mainly lithium. Speaking to Reuters, Shailesh Chandra, managing director of the passenger vehicles and electric mobility subsidiaries, said that cell prices have been rising over months and he expects them to remain high for about a year. "Immediate impact seems to be about a 20% kind of an increase which will have short-term pressure. This should moderate within a year and then start coming down," he added. While Chandra did not comment on whether this would affect the company's sales or profitability, he noted a sharp rise in the demand for "green personal mobility." The automaker expects to offset some of the some of the cost pressures by increasing the use of locally sourced components in

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Tata Motors sees short-term pressure due to increased battery cell costs