KATHMANDU: Tata Motors and Italian commercial vehicle manufacturer Iveco Group have joined forces to create the world’s fourth-largest commercial vehicle business. The combined entity will have a presence in 130 countries across six continents.
The new business brings together 27 manufacturing facilities, 25 research and development centers and 9,300 sales and service locations. It will have a workforce of more than 73,000 employees.
The combined company is expected to record annual sales of around 590,000 vehicles and generate revenue of more than Rs 2.28 trillion.
Speaking at a global press conference in Turin, N Chandrasekaran, Chairman of Tata Sons, Tata Motors and Iveco Group, said the combination brings together two companies with complementary product portfolios and a shared focus on sustainable mobility.
Tata Motors brings a wide range of commercial vehicles to the combined business. Its portfolio includes light commercial vehicles starting below one tonne, heavy trucks with a gross vehicle weight of up to 55 tonnes and passenger transport vehicles with seating capacities ranging from 10 to 51.
Iveco adds light, medium and heavy commercial vehicles, along with public transport solutions. Its powertrain business, FPT Industrial, also brings expertise in engines and power systems for road transport, marine applications and power generation.
The companies expect the combined business to benefit from a wider global network and greater scale. They also aim to accelerate product development and market expansion while creating new opportunities for suppliers and distribution partners.
Tata Motors and Iveco have confirmed that existing customer contracts, dealer and supplier relationships, warranties, after-sales commitments and captive financing arrangements will continue without changes during the transition.
