Tata Motors shares gain on China sales relief

Shares fall on worries that China's new stringent fuel economy standards, which mandate tough emission rules by 2015, would adversely impact JLR's sales in the country, its fastest-growing market

Bs_logo
Reuters Mumbai
Last Updated : Mar 22 2013 | 11:00 AM IST

Shares in Tata Motors gain 1.3%, recovering from the previous session's falls after unit Jaguar Land Rover Ltd (JLR) said late on Thursday it did not expect sales in China to be hurt by the new fuel standard norms in the country.

"The business is not anticipating any negative impact on sales in the Chinese market," JLR said in a statement, citing steps already taken to downsize engines, reduce vehicle weight and a new diesel technology.

Shares in Tata Motors fell 4.2% on Thursday on worries that China's new stringent fuel economy standards, which mandate tough emission rules by 2015, would adversely impact JLR's sales in the country, its fastest-growing market.

Morgan Stanley recommends using weakness in Tata Motors shares to add positions and maintains its "overweight" rating on the stock.

Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Access to Exclusive Premium Stories

  • Over 30 subscriber-only stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Mar 22 2013 | 9:59 AM IST