Tata Motors considering a 1 billion Euro investment in Romania?

Posted on: Jan 18, 2013 - 3:20pm IST

The largest Indian auto maker, Tata Motors is reportedly considering a full fledged production facility in Romania, the homeland of Dacia.

Tata Nano Europa

According to the report by Dailybusiness.ro, Tata Motors is interested in investing in an industrial park named Tetorom 3. The third phase of the industrial park promoted by Cluj County Council (CCC) has a total industrial land of 154 hectares in the village of Jucu, near Cluj, Romania.

Report suggests that Tata Motors is negotiating a €1 billion investment with CCC but due to the manufacturer’s request for discretion in the process, there is no official comment from the county authorities. However, it is learnt that the Indian auto maker is considering a huge investment on a plant which could sprawl over 24 hectares of land in Jucu.

The proposed plant is expected to be a full fledged production facility which could cater to passenger cars, commercial vehicles and buses. The plant could source the components from the local vendors which could give them tax benefits.

With the new plant in place, Tata Motors can build the next generation Nano which will comply with European quality and safety norms along with CKD operations of Manza, Safari and Telcoline UVs. The commercial vehicle lineup would include the Prima trucks which were developed in association with Daewoo.

We have to mention our readers that the negotiations are still in the early stages, but if Tata Motors establish a plant in Romania, it would prove to be a strategically sound move for the company’s European operations, especially with next generations of its current portfolio in place.

[Source: DailyBusiness.ro]

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4 thoughts on “Tata Motors considering a 1 billion Euro investment in Romania?

  1. […] while ago, we told you that Tata Motors was considering a €1 billion investment in Romania to set up a new production facility. In fact, several other news agencies were specific in that […]

  2. sisimoto says:

    TATA Motors should reconsider to built a plant and invest in romania!
    Lack of infrastructures(for example: no motorways in the area of the planned factory)!Lack of the interest of the authorities!
    In Hungary for example we have direct motorway connection with western part of europe or to water logistics on the Danube and railways!Various industrial park locations next to one of the six main motorways or the M0 motorway surrounding the capital!Various ports on the Danube or access to railway logistic centers!Highly trained workforce and possible relations with local universities and colleges for supply of future engineers and management!Nevertheless the Hungarian goverment this week signed an strategic agreement with TATA Consultancy Services as part of TATA Group!

  3. John Popp says:

    In fact, the Governer Uioreanu is going to rent 170 Hectares of land to the future auto company in Jucu-Cluj area.

  4. S Pani says:

    There is something very very odd about this report. While a billion pounds seems like a massive investment, but the factory area is rather miniscule.

    In the area they are talking about, you could probably run some assembly operations only, but not a full fledged manufacturing facility.

    To give you a comparison, Tata Motors facilities in India occupy about 8-10 times the space that is being talked about here.


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About the Author
Nithyanandh K

As a toddler, those wheeled machinery fascinated me even before I knew what they’re called as! So here I'm, petrolhead by birth, Mechanical engineer by qualification and automotive reporter by profession!