Tata Motors Passenger Vehicles Ltd (TMPV) and Stellantis on Monday signed a definitive agreement to expand their strategic partnership to include advanced technology and product development, with vehicles developed under the agreement to be manufactured in India for more than 50 global markets.
The agreement brings together TMPV’s vehicle architecture and technology capabilities with Stellantis’ global product development and engineering expertise, the companies said in a joint statement. They also said that the collaboration would address different customer, regulatory and operating requirements across international markets.
Under the agreement, TMPV will provide Stellantis with access to its product technology and vehicle architecture. Stellantis will use these capabilities alongside its product development and engineering operations in India to develop vehicles for international markets.
The vehicles will be manufactured at Fiat India Automobiles Private Ltd (FIAPL), a 50:50 joint venture between TMPV and Stellantis, according to the companies’ joint announcement.
Agreement builds on previous deal
This development came after a memorandum of understanding (MoU) was signed in February to explore collaboration in manufacturing, engineering and supply chains in India and overseas. The latest agreement formalises collaboration in product technology and vehicle architecture.
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The companies said the partnership would use India’s engineering capabilities and manufacturing scale to expand exports and strengthen the country’s role in their global production network.
Shailesh Chandra, managing director and chief executive officer of Tata Motors Passenger Vehicles, said the partnership had developed over more than two decades.
“Our partnership with Stellantis has grown steadily over more than two decades, built on mutual trust and complementary strengths,” Chandra said.
He said the agreement would extend the relationship into advanced vehicle technology and architecture, with Stellantis using TMPV’s capabilities to develop products for global markets.
“We are delighted that Stellantis will leverage them to develop products for global markets. Together, we have an exciting opportunity to combine our respective strengths to create compelling vehicles engineered and made in India for customers in India and around the world,” Chandra said.
Stellantis looks to expand export potential
Tianshu Xin, chief operating officer of Stellantis’ Asia-Pacific region, said the agreement would combine Tata Motors’ capabilities in India with Stellantis’ product development expertise and international market reach.
“By combining Tata Motors' strong capabilities in India with Stellantis' global product development and market reach, this Agreement will help us develop competitive vehicles in India and expand our export potential across international markets,” Xin said.
He added that the agreement reinforced India’s role as a manufacturing and development hub for Stellantis.
Stellantis has a portfolio of 14 automotive brands and operations across Europe, North America, South America, the Middle East, Africa and Asia-Pacific. The company said its global engineering and market expertise, combined with Tata Motors’ technology capabilities, would support vehicle development and manufacturing in India for international markets.