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Tube Investments of India (TII), the engineering flagship of the Murugappa Group, has announced plans to invest an additional ₹500–750 crore in its electric vehicle subsidiary, TI Clean Mobility, as it looks to scale up operations and move towards break-even despite initial delays and losses. The company has already invested around 750 crore in its EV business so far.
Speaking during the company’s Q3 FY26 earnings call, Vellayan Subbiah, Vice Chairman of Tube Investments, said that manufacturing capacity has now been established and early positive signs are emerging across several newly launched products. He added that this is the right time to double down on the EV business.
The proposed investment will be directed towards improving cost competitiveness, expanding the distribution network, and accelerating product development. Management is targeting EBITDA and cash flow break-even as the first milestone, before progressing towards sustainable profitability. The EV business reported a loss of ₹164.31 crore in the December 2025 quarter.
While acknowledging that scaling up the EV business is taking longer than initially expected, the management reiterated its long-term commitment, citing strong growth potential and a gradual shift from internal combustion engine (ICE) vehicles to electric mobility across its target segments.
TI Clean Mobility currently operates across four EV segments—electric three-wheelers, small commercial vehicles (SCVs), medium and heavy commercial vehicles (M&HCVs), and electric tractors. According to the management, heavy trucks and three-wheelers are expected to achieve break-even first, followed by SCVs and tractors.
During the December quarter, the company sold 1,816 electric three-wheelers, 301 electric SCVs, 56 electric heavy trucks, and 29 electric tractors. In the electric heavy truck segment, TI Clean Mobility said it holds a market share of over 40 per cent and is developing segment-specific use cases, such as cement logistics, to drive adoption.
In the electric three-wheeler segment, the company has built a dealership network of 117 outlets, covering around 65–70 per cent of the industry’s total addressable market. However, competition has intensified with established players such as Mahindra and Piaggio. To strengthen its position, the company is focusing on reducing bill-of-materials (BOM) costs, deepening dealer engagement, and launching products in key power categories.
TI Clean Mobility is also witnessing encouraging traction in the electric small commercial vehicle segment, where market adoption remains at an early stage. In the heavy commercial vehicle space, the company is targeting specific industry verticals such as cement and logistics by developing tailored solutions aligned with customer requirements.
