Tata acquires Ford electric vehicle plant in India

The production capacity of the plant is designed for 300,000 electric vehicles per year


An editor at eMobilCar

  • 2 min read

Tata Passenger Electric Mobility Limited (TPEML), a subsidiary of India's largest automaker Tata Motors, has signed an agreement with Ford India to acquire the Ford plant in Sananda, Gujarat, India. Tata wants to build electric vehicles there in the future.

The acquisition of the plant, which is still subject to regulatory approval, offers Tata a production capacity of 300,000 electric vehicles per year, which could later be increased to 420,000 electric vehicles per year.

Tata Motors announces that Ford India Private Limited (FIPL) will continue to operate its powertrain plant at the site. To do this, this part of the object is rented back on mutually agreed terms. However, control of the car factory lies with TPEML. The company will make the necessary investments to reconfigure and adapt the plant to Tata Motors' existing and future vehicle platforms.

The acquisition will also play an important role in achieving their own electronic goals. At the end of April, Tata Motors decided to more than quadruple electric vehicle production from 19,000 to 80,000 units this fiscal year. Tata Motors announced last year that it would launch ten electric models by 2026 and invest about US$2 billion in new vehicle architectures, related technologies and infrastructure.

The agreement signed today with FIPL is mutually beneficial and reflects Tata Motors' strong commitment to strengthening its position in the passenger car market and further expanding its leadership position in the electric vehicle segment

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