Tata, MG and rivals use battery rentals to bring EV entry prices below ₹8 lakh

Battery-as-a-Service plans are lowering upfront EV prices for budget buyers, with Tata, MG, Citroen and Kia positioning hatchbacks and compact SUVs on monthly or per-km battery-payment models.

— Filed Tue, 4 Aug, 2026, 16:40 IST · Source Business Today · Latest · Updated

Affordable EV makers in India are using Battery-as-a-Service and battery-rental plans to reduce upfront prices. Tata, MG, Citroen and Kia are targeting budget buyers with city hatchbacks and SUVs priced below ₹8 lakh, differentiated by range, space and performance.

Why this matters

The pricing move follows Tata Motors taking 43% of India’s July EV market as registrations more than doubled, extending its push to make EVs accessible across lower-price segments.

Retail-company signals are accelerating, up 202700% QoQ.