Tata Motors May Invest €1 Billion in Romania Production Facility


Hindufying India
Senior Member
Aug 18, 2010
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Tata Motors is by far the largest automaker in India, and they have some financial might at their disposal - they did manage to buy the Jaguar-Land Rover group, so it wouldn`t be wise to doubt them, we say. Now, a report published by dailybusiness.ro, suggests that the Indian giant may be moving into the Romanian village of Jucu, where they plan to invest €1 billion.

Apparently, representatives of the Indian company are already negotiating with the local authorities, which have reportedly been asked not to make any comments until the matter is at least partially settled.

The plan is to build an entire production facility, which would build not only passenger cars, but also buses, trucks and commercial vehicles. Components could be sourced from local suppliers, and supply chains could be created without having to bring in too many parts from abroad.

Also, if the deal does go through and is officially confirmed, then Tata may very well build the next generation of its Nano city car at the plant. The current Nano just doesn`t comply with the strict EU regulations, and it will definitely not be made at the plant.

Taking a step back, and looking at the whole picture, it would be very wise of Tata to operate a large production facility out of Romania, as the country, located in the southeastern part of the continent is a member of the EU, and therefor if they were to export their production output to the rest of the Europe, they would not incur heavy taxes and import/export duties.

Tata Motors May Invest €1 Billion in Romania Production Facility - autoevolution

Even if they get 2%-4% of EU Automobile Market considering the Portfolio they Possess!

Tata Motors is the only True Global Automobile Company among BRIC Countries and the only one outside of Europe, America, Japan and Korea.

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