Stellantis Buys Up India Joint Venture, Aims to More Than Double Production by 2027

Stellantis has purchased the rest of the shares held in Stellantis India Automobile Private Ltd (SIAPL) by joint venture partner CK Birla Group, gaining full control of the manufacturing plant at Thiruvallur in Tamil Nadu. 

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It now has plans for boosting the plant’s production to an impressive extent. The plant’s annual production is going to be raised from the current level of 18,000 cars in 2026 to 50,000 units in 2027. 

This comes within the context of the Fastlane 2030 strategy of Stellantis, where a greater share of production and export operations will be handled in India. 

Stellantis gains full control of Thiruvallur Plant 

Through this acquisition, the manufacturing plant in Thiruvallur, which is manufacturing Citroën cars, is completely controlled by Stellantis. 

No details were revealed about the financial terms agreed upon by Stellantis for the CK Birla Group. 

The joint venture between Stellantis and CK Birla Group began in 2017 after signing a manufacturing and mobility agreement in India. 

The car assembly operation at Thiruvallur plant started from 2021. The plant is currently manufacturing Citroën C3, ë-C3, C3 Aircross, and Basalt, with localization over 95%. 

Production targeted at around 50,000 vehicles in 2027 

Stellantis plans to take annual production at Thiruvallur to around 50,000 vehicles in 2027 from approximately 18,000 units in 2026. 

The planned output will serve a combination of the Indian market and overseas customers. 

The facility currently exports to eight markets across four continents. Stellantis also expects to increase both the number of countries it exports to and the number of models shipped overseas. 

The company expects upcoming free trade agreements involving India to support the competitiveness of vehicles exported from the country. 

Workforce expected to more than double 

Higher production is also expected to result in an expansion of the workforce at the Tamil Nadu facility. 

The plant has 610 direct employees in 2026. As production moves towards 50,000 units annually, the direct workforce is projected to more than double. 

The expansion is also expected to generate indirect employment across the supplier and logistics network supporting the facility. 

Stellantis has invested over €1 billion in India 

Stellantis has invested more than €1 billion in India across manufacturing, product development, localisation and capability building. 

The report also puts the company’s investment in the country at close to ₹11,000 crore towards developing its manufacturing, engineering and export ecosystem. 

Taking full ownership of SIAPL gives Stellantis greater control over the manufacturing business and is expected to simplify governance and provide greater operational flexibility. 

The additional control could also help the automaker move faster on introducing and localising new vehicles for Indian as well as international markets. 

India-developed platform serves multiple global markets 

Stellantis’ India operations extend beyond manufacturing vehicles for the domestic market. 

The company’s ‘smart car’ platform, developed and invested in India, is used for multiple models manufactured across India, Latin America, Europe, the Middle East and Africa. 

With production at Thiruvallur planned to rise sharply next year, Stellantis is looking to expand India’s role across manufacturing, engineering and exports while increasing localisation and investment in new products.