Tata Motors Passenger Vehicles (TMPV) and Stellantis, the parent company of global automotive brands such as Jeep, Citroen and Fiat, on Tuesday signed a Memorandum of Understanding (MoU) to explore opportunities for collaboration across manufacturing, engineering and supply chain in India and overseas.
The two companies also commemorated 20 years of partnering via their 50:50 joint venture Fiat India Automobiles Private Limited (FIAPL).
Since its formation, FIAPL, which operates an integrated vehicle and powertrain facility in Ranjangaon, Pune has produced more than 1.37 million vehicles and currently employs close to 5,000 people. The facility has an annual production capacity of 222,000 units.
FIAPL manufactures a portfolio of Stellantis models —including the Jeep Compass, Meridian, Grand Cherokee (CKD) and Wrangler (CKD) as well as Tata Motors’ bestselling Nexon, Altroz, and Curvv. Supported by in-house production of advanced engines, transmissions, and traction motors, the facility also exports vehicles to key international markets such as Japan and South Africa.
While the two companies did not disclose the nature or investment details of future collaboration, a statement stated that FIAPL has developed robust strength across manufacturing, powertrain, and supply‑chain excellence, laying a strong foundation for expanding future collaboration.
Industry experts believe that the two companies may increase engine sharing for future products. This includes the potential use of Tata Motors’ 1.5-litre T-GDi petrol engine in select Jeep models such as Compass and Meridian. The development also comes at a time when automakers across the globe are forming alliances to prepare for changing trends - from the rise of battery-powered vehicles to the rapid development of autonomous vehicle technology.
Speaking on the opportunity ahead, Grégoire Olivier, Chief Operating Officer of Stellantis Asia Pacific, said, “FIAPL stands as a testament to what two strong organizations can achieve together. As we commemorate this milestone, we remain focused on evolving the partnership to support future-ready manufacturing, innovation, and sustainable growth in the region.”
Shailesh Chandra, Managing Director & CEO, Tata Motors Passenger Vehicles, added, “Our partnership with Stellantis through FIAPL reflects the strength of a long-standing collaboration built on trust, shared values and a common vision. We look forward to deepening this relationship with Stellantis in the years ahead.”