Tata Motors to takeover Sanand plant; signs MoU with Ford and Gujarat govt

Tata Motors’ subsidiary, Tata Passenger Electric Mobility Limited (TPEML), signed a memorandum of understanding (MoU) on May 30 with Ford India Private Limited and the Government of Gujarat to take over Ford's passenger vehicle manufacturing plant in Sanand, Gujarat. With this, Ford India's Sanand plant paves the way for the manufacturing of electric vehicles (EVs) by Tata Motors.

According to the Chief Minister's Office (CMO), the MoU also includes the continuation of the state support agreement signed in 2011 between the Gujarat government and Ford India Pvt. Ltd., which now includes Tata Passenger Electric Mobility Limited.

As part of the MoU, Tata Motors would take over land, plant building, machinery, and vehicle assembly from Ford India Pvt. Ltd., as well as all workers at the plant. The plant in Sanand currently provides 3,043 direct jobs and 20,000 indirect jobs. Of the total 460 acres of land, Ford India's vehicle assembly plant is spread across 350 acres, while the engine manufacturing plant is spread across 110 acres.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.