Tata Motors and Fiat are expanding their strategic alliance to third country markets for exports and for more efficient utilisation of manufacturing and distribution resources, reports Business Standard.
According to sources in Tata Motors, talks are currently on to expand its current alliance with Fiat to markets like South Africa and China and Latin America.
The memorandum of understanding (MoU) between Tata Motors and Fiat entails studying the feasibility of cooperation, across markets, that could encompass development, manufacturing, sourcing and distribution of products, aggregates and components.
Tata Motors has already begun to distribute Fiat branded cars in India, and the two companies have also signed a separate MoU to establish an industrial joint venture in India (at Ranjangaon) to manufacture passenger vehicles, engines and transmissions for the Indian and overseas markets.
So far the only other market the alliance covered was Latin America. Given that Tata Motors is also expanding its international manufacturing operations, the latest being the acquisition of Nissan`s production unit in South Africa, it is possible that these units may also churn out Fiat products.
|
