Stellantis India Takes Full Control of Thiruvallur Plant

Stellantis India Takes Full Control of Thiruvallur Plant

Stellantis India has acquired the remaining equity stake held by CK Birla Group company Hindustan Motor Finance Corporation Ltd. in Stellantis Automobiles India Private Limited, giving Stellantis complete ownership of the joint venture and its vehicle assembly facility in Thiruvallur, Tamil Nadu. The transaction was completed through foreign direct investment and ends the joint venture formed in 2017 between Stellantis and the CK Birla Group. That partnership supported the entry of French automaker Citroen into the Indian market. The ownership change gives Stellantis full control of the manufacturing operation and establishes the basis for its planned expansion at the facility.

Stellantis Takes Full Ownership Through FDI Transaction

The acquisition transfers the remaining equity interest in Stellantis Automobiles India Private Limited to Stellantis, concluding the ownership structure established with the CK Birla Group in 2017. The transaction was executed through foreign direct investment and includes full ownership of the joint venture and its car assembly facility in Thiruvallur. Stellantis India has invested close to INR 11,000 crore in the country, according to Shailesh Hazela, CEO and Managing Director of Stellantis India. The company says the investment has helped build a manufacturing, engineering, and export ecosystem in India.

Citroen Models Produced at Thiruvallur

The Thiruvallur facility currently manufactures four Citroen nameplates for the Indian and export markets: the C3, e-C3, C3 Aircross, and Basalt. The plant also ships completely built units to eight export destinations spanning four continents. The production portfolio therefore includes both conventional and electric passenger-car models, while the export activity connects the Tamil Nadu facility with markets beyond India. With ownership now fully controlled by Stellantis, the existing manufacturing operation provides the company with a base from which to increase output and strengthen its production and export activities.

Citroen Models Manufactured at the Thiruvallur Facility

The facility's current production portfolio covers four Citroen nameplates, including the electric e-C3. These models form the core vehicle output identified in the announcement and are manufactured at the Thiruvallur assembly plant. The facility also supports exports, with completely built units shipped to eight destinations across four continents. The model mix and export footprint provide the manufacturing site with an established operating base as Stellantis India prepares for the planned production increase through 2028.

Thiruvallur Production Target Rises Above 43,000 Units

Following the acquisition, Stellantis plans to increase annual production at Thiruvallur by more than 160%. The company is targeting output of more than 43,000 units by 2028, compared with 16,000 units planned for 2026. This represents an increase of more than 27,000 units in annual production capacity between the two stated levels. The planned expansion signals a substantial increase in utilization of the facility and is intended to support Stellantis' broader manufacturing and market requirements in India. The company has not changed the stated 2028 target in the announcement.

Workforce Expansion Planned Alongside Production Growth

The production increase is also expected to affect employment at the Thiruvallur facility. Stellantis says the expansion is projected to more than double the plant's direct shopfloor workforce from its current level of 610 employees. The workforce plan is tied directly to the planned manufacturing ramp-up through 2028, indicating that higher output will require additional direct production personnel. Together with the targeted increase in annual vehicle production, the employment expansion represents a significant change in the scale of operations planned for the facility under full Stellantis ownership.

Stellantis Sees India as a Key Growth Pillar

Shailesh Hazela, CEO and Managing Director of Stellantis India, said, "India remains a key pillar of Stellantis' growth strategy. Having invested close to INR 11,000 crore in the country to build a strong manufacturing, engineering and export ecosystem, we continue to see significant opportunities ahead. This milestone will enable greater integration and enhance our ability to respond more quickly to customer and market needs." The statement connects the ownership change with Stellantis' existing investment in India and its objective of improving integration and responsiveness to customer and market requirements.

Industry Impact & Outlook

Full ownership gives Stellantis direct control over the Thiruvallur manufacturing operation as the company prepares to substantially increase production through 2028. The planned rise from 16,000 units in 2026 to more than 43,000 units in 2028, together with a workforce expected to more than double from 610 direct shopfloor employees, could increase the facility's role within Stellantis' Indian manufacturing and export network. The eight export destinations across four continents also provide an established international channel for output. The immediate focus will be execution of the production and workforce expansion while maintaining the facility's existing Citroen model and export operations.

Frequently Asked Questions

What did Stellantis acquire in India?
Stellantis acquired the remaining equity stake held by Hindustan Motor Finance Corporation Ltd. in Stellantis Automobiles India Private Limited, giving it full ownership of the joint venture and its Thiruvallur assembly facility. The transaction was completed through foreign direct investment and concludes the joint venture formed with the CK Birla Group in 2017. The plant currently produces the Citroen C3, e-C3, C3 Aircross, and Basalt, while also exporting completely built units to eight destinations across four continents. Stellantis plans to increase annual production beyond 43,000 units by 2028.