Tata Motors and Jaguar Land Rover Inaugurate New Manufacturing Hub in Tamil Nadu
In a significant boost to India's premium automotive sector, Tata Motors Passenger Vehicles and its subsidiary Jaguar Land Rover Automotive Plc (JLR) have officially opened a new greenfield manufacturing facility at Panapakkam in Tamil Nadu. This strategic move aims to enhance India's capabilities in high-end vehicle production and assembly.
Strategic Location and Operations
The new plant, situated approximately 80 kilometers from Chennai, is poised to become a crucial assembly hub for JLR. Previously, JLR assembled its vehicles from completely knocked-down (CKD) kits at Tata Motors' existing unit in Pune. With the inauguration of the Panapakkam facility, operations will now run concurrently at both locations, ensuring a seamless production flow and increased capacity.
Inauguration and Initial Production
The facility was inaugurated on Monday by Tamil Nadu Chief Minister M K Stalin, who ceremoniously flagged off the first vehicle—a Range Rover Evoque—from the assembly line. This event marks the beginning of a new chapter in India's automotive manufacturing landscape, with a focus on premium and electric vehicles.
Investment and Expansion Plans
Tata Motors has committed a substantial investment of around Rs 9,000 crore in phases for this project. Over the next five to seven years, the company plans to scale up production capacity to an impressive 2.5 lakh units. The plant will manufacture a range of vehicles, including electric models, for both Tata Passenger Vehicles and JLR, catering to both domestic and international markets.
N Chandrasekaran, Chairman of Tata Sons, emphasized the facility's future potential, stating, "Over the next five years, we will introduce other models and new technologies to this facility as we are building it from the ground up."Economic Impact and Job Creation
The project is expected to generate approximately 5,000 direct and indirect jobs, significantly boosting local employment. Additionally, it will support the development of a robust local supplier ecosystem, fostering economic growth and industrial development in the region.
JLR's Strategic Focus on India
JLR has highlighted India's strategic importance to its global growth strategy. Richard Molyneux, Chief Financial Officer at Jaguar Land Rover, noted, "India is a major focus growth market for us. Our ambition to grow brands such as Jaguar, Range Rover, Defender, and Discovery in India is very strong, partly due to our parent company's presence here and also because India is a large and rapidly expanding economy."
This new facility underscores JLR's commitment to leveraging India's economic potential and Tata Motors' manufacturing expertise to drive innovation and expansion in the premium vehicle segment.