Stellantis Announces ₹2,000 Crore Investment In Tamil Nadu

Stellantis has announced that it will invest an additional ₹2,000 crore through the Citroen brand in Tiruvallur, Tamil Nadu. Stellantis says this investment will be made over the next six years and will be in addition to the ₹1,250 crore it has invested in the southern state. 

The automotive conglomerate has announced that this investment will help expand the brand’s internal combustion engine (ICE) and electric vehicle (EV) manufacturing. Stellantis says this new investment will be for capital expenditure as well as research and development at its Chennai Tech Center. 

Stellantis signed a non-binding memorandum of association (MoU) with Tamil Nadu at the Global Investors Meet in Chennai. Stellantis had committed to invest ₹1,250 crores in Tamil Nadu in 2019 which it says has fulfilled in 2023. 

The Tamil Nadu government has said it will support Stellantis, recognising its presence and contribution to the state. The government says it will provide important infrastructure and regulatory assistance to Stellantis. 

Aditya Jairaj, CEO and Managing Director, Stellantis, said, “This substantial investment under the Citroën brand underscores our commitment to India’s automotive market. Tamil Nadu has consistently demonstrated its suitability for business, offering a conducive environment for growth. With firm state support, we aim to strengthen production capabilities and spearhead technological advancements, reinforcing our position as a driving force for sustainable growth and innovation.”

Citroen announced its India entry in 2019 and formally entered India with the C5 Aircross in 2021. It then offered the made-in-India C3 hatchback, eC3 hatchback and C3 Aircross SUV, as part of its C Cubed plan. Citroen will now launch the fourth C Cubed product, the C3X, which will be based on Stellantis’ common modular platform (CMP) and is likely to be offered with the 1.2-litre turbo-petrol engine.