Stellantis Takes Full Control Of India Plant, Plans To Triple Production To 50,000 Vehicles By 2027
Automobile manufacturer Stellantis has taken complete ownership of Stellantis India Automobile Private Ltd (SIAPL) after acquiring the remaining stake held by its joint venture partner CK Birla Group, according to a report by Business Standard. The move gives the company full control of its Thiruvallur plant in Tamil Nadu, which produces Citroën vehicles. The acquisition is part of Stellantis’…
Automobile giant Stellantis has gained full ownership of its Stellantis India Automobile Private Ltd (SIAPL) after purchasing the remaining stake from its joint venture partner, the CK Birla Group. This acquisition grants the company complete control over its Thiruvallur plant in Tamil Nadu, which manufactures Citroën vehicles. The move aligns with Stellantis' Fastlane 2030 strategy, which seeks to bolster India's standing as a global export hub.
Shailesh Hazela, Stellantis India's chief executive officer and managing director, disclosed that the Thiruvallur facility's production is projected to nearly triple from approximately 18,000 units in 2026 to around 50,000 vehicles by 2027. Of these, both domestic and export sales are expected to grow.
Mr. Hazela elaborated on the significance of the expansion, stating that Stellantis anticipates upcoming free trade agreements (FTAs) to enhance the competitiveness of Indian-manufactured vehicles, thereby bolstering exports. He also highlighted that increased control over operations would facilitate quicker localization and a swifter introduction of new models tailored for both Indian and international markets.
The acquisition of SIAPL will enable Stellantis to achieve deeper operational integration, faster decision-making, and heightened flexibility in India. This location remains a pivotal market in Stellantis' broader global growth strategies. The joint venture between Stellantis and CK Birla Group commenced in 2017, initially focusing on manufacturing and mobility. Since assembly began in 2021, the Thiruvallur plant has emerged as a crucial production site, churning out Citroën models like C3, ë-C3, C3 Aircross, and Basalt.
The facility has already achieved over 95% localisation, and Stellantis has invested more than €1 billion in India, encompassing manufacturing, product development, and skill enhancement. The forthcoming production surge is also anticipated to boost employment levels, with the company projecting its direct workforce to more than double from 610 employees in 2026.
Written by urgent.news from Free Press Journal's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
