Tata Motors and Stellantis Sign MoU To Expand Collaboration

Tata Motors Passenger Vehicles and Stellantis have signed a fresh memorandum of understanding that pushes their long-running partnership into its next phase. The two companies plan to expand cooperation across manufacturing and supply chain operations, with India remaining the centre of the action. This move builds on a 20-year relationship that already includes shared production and engine work through a joint venture. The new agreement does not bring new car announcements yet, but it sets up the groundwork for closer coordination across plants, parts sourcing and engineering. Both sides want to see how existing facilities can handle more work and how joint planning can support future models. For now, the focus stays on making current operations run better and using available capacity in a smarter way across their Indian manufacturing network.

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The partnership in India runs through Fiat India Automobiles Private Limited, a 50:50 joint venture between Tata Motors and Stellantis. The Ranjangaon plant near Pune has been the backbone of this relationship since 2006. The site has produced vehicles, engines and key components for both companies over the years. It has handled different models and powertrains and continues to play a major role in keeping production links active between the two groups.

With the new MoU, both sides will study how to tighten cooperation across production planning and engineering. They will also review supply chain alignment, including sourcing and logistics. The goal is to use existing capacity more efficiently and support current and future programmes with better coordination between teams and suppliers.

The Ranjangaon facility will stay at the centre of these plans. It already supports assembly and component production tied to both companies. Under the expanded collaboration, the plant could take on more responsibility, but that will depend on internal reviews and demand. Any changes to production volumes or future allocation will come later.

There is no confirmation of new vehicles or platforms at this stage. The agreement mainly sets up a structure for both companies to explore what comes next. After two decades of working together in India, Tata Motors and Stellantis are now looking at how to stretch that partnership further across manufacturing and supply chains.