Tata Motors and Stellantis Sign MoU to Strengthen Manufacturing and Supply Chain Collaboration in India and Globally

On February 11, Tata Motors' Passenger Vehicles Business Unit and Stellantis signed a Memorandum of Understanding (MoU) in India to explore further collaboration in manufacturing, engineering, and supply chain domains, both in India and overseas markets. The move coincides with the 20th anniversary of their joint venture, Fiat India Automobiles Private Limited (FIAPL). Located near Pune, FIAPL has an annual production capacity exceeding 200,000 units and has cumulatively produced over 1.37 million vehicles. It currently manufactures four Jeep models and three Tata models, exporting them to markets including Japan and South Africa. Shailesh Chandra, CEO of Tata Motors, and Grégoire Olivier, COO of Stellantis Asia Pacific, both expressed enthusiasm for deepening their partnership. Although specific details of the new collaboration were not disclosed, Tata has previously licensed Stellantis’ 2.0-liter diesel engine technology. This renewed cooperation marks Tata’s first systematic collaboration with a European automaker since ending its partnership with Volkswagen, and industry observers believe such alliances will drive innovation and enhance efficiency during a critical growth phase for India’s automotive market.