Tata Motors and Stellantis deepen ties with new collaboration pact
Tata Motors and Stellantis have signed a fresh Memorandum of Understanding (MoU), coinciding with the 20-year milestone of their 50:50 joint venture, Fiat India Automobiles Private Limited (FIAPL). The announcement underlines the long-standing partnership between the two automakers, who jointly operate the Ranjangaon manufacturing facility in Maharashtra.
While the companies have not disclosed specific details of the new agreement, they indicated that it aims to explore deeper collaboration opportunities across manufacturing, engineering and supply chain operations, both in India and globally. Industry sources suggest that one key area under discussion could be powertrain sharing, potentially opening up new product possibilities for both brands.
It is understood that Stellantis is evaluating the use of Tata Motors’ new 1.5-litre T-GDi petrol engine for select Jeep models, including the Jeep Compass and possibly the Jeep Meridian. Currently offered with diesel powertrains, these SUVs could benefit from the introduction of a locally sourced petrol engine, especially in a market where petrol demand continues to grow. An engine-sharing arrangement would allow Stellantis to leverage an existing partnership while reducing development timelines and costs.
The collaboration comes at a time when Tata Motors has secured licensing rights from Stellantis for the 2.0-litre Multijet diesel engine, enabling in-house development across different states of tune. The Ranjangaon plant, jointly owned by the two companies, currently manufactures this engine along with vehicles such as the Tata Harrier, Tata Safari, Compass and Meridian. The new MoU suggests that the partnership could evolve further, potentially strengthening synergies between the two automakers in the years ahead.
