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Tata Motors and Fiat to set up joint assembly line to manufacture SUVs

June 12, 2015, 02:07 PM IST by Fleme Varkey
Tata Motors and Fiat to set up joint assembly line to manufacture SUVs

In a major development in the auto industry, Tata Motors and Fiat are planning to set up a joint SUV assembly line.This comes after Tata Motors' and Fiat's JV had split back in 2013. The strategic alliance with Fiat was formed back in 2005, where it had set up an industrial joint venture with Fiat Group Automobiles to produce both Fiat and Tata cars and Fiat powertrains. 

According to a report in ET Now, the two companies will be jointly shelling out Rs 3,000 crore for the assembly line. The capacity of the new line is expected to be around 1 lakh units. "While Tata Motors will look to manufacture its Q501 and Q502 SUVs from the line, Fiat is expected to use it for its Jeep models," the channel reported.

Fiat’s Ranjangaon unit could be the probable location for this assembly line, in fact, this plant already has a 50:50 manufacturing joint venture with Tata. The Ranjangaon unit rolls out Tata's Zest and Bolt and Fiat's Linea currently.

Tags:Tata,Fiat,Jeep,ranjangaon,Wrangler,Jeep Wrangler,Safari Storme,Tata Safari Storme,New Linea,Fiat New Linea
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