Tata Motors and Fiat plan to use the Ranjangaon facility,now manufacturing only the latter’s cars, to produce products for both the companies.
The vehicles will be used for both domestic consumption and exports, Tata Motors Managing Director Ravi Kant said.
“Tata Motors is in talks with Fiat for collaboration in Latin America and talks are on with IVECO (Fiat’s truck manufacturer),” Kant said.
Fiat has set itself three years to emerge as a strong player in the Indian market, Ketter said.
Maharashtra CM, Vilasrao Deshmukh said the state which was losing out various investment projects, has regained its place in the most favoured destination list by investors, with the state signing 38 MoUs entailing an investment of Rs 43,000 crore in the past 18 months.
He said these industries can generate lots of jobs and reduce burden on agriculture. The government cannot provide jobs to all, he added.
“Today people can afford cars. In Mumbai alone 500 cars are registered daily,” Deshmukh said.Kant said: “This JV is a start of a comprehensive relationship between Tata and Fiat.
“Tatas would use this plant to produce new generation of cars that will come out next year.”