Tata Motors and Fiat joint venture is apprehended to launch Jeep Cherokee in India soon. This partnership will be launching a number of Chrysler models in India.
The iconic Jeep Cherokee will be produced at the Ranjangaon facility near Pune. The Tata-Fiat alliance will initially start retailing the Cherokee and follow up with other products.
Italian car major Fiat acquired a 20% stake in Chrysler after the Michigan-based company filed for Chapter 11 bankruptcy earlier this year. Fiat's 20%, stake in Chrysler could eventually go up to 51%. Chrysler will get access to Fiat's small car technology while Fiat gets a footprint into the US market.
With financing from the Federal Government, the `new Chrysler' is supposed to change its product portfolio towards fuel-efficient vehicles.
The Tata-Fiat alliance has been expanding production at its Ranjangaon facility.
Recently, Fiat India Automobiles (FIAPL), the Tata Motors-Fiat JV raised $510 million through a multi-tranche syndicated loan, which includes a $200 million term loan for working capital requirements. FIAPL is a 50:50 joint venture between Fiat Group and Tata Motors and manufactures Fiat and Tata cars and produces transmissions and engines.